The above newsletter has been published today, it details how tax relief will operate for Scottish Income Tax payers in 2018/19.
Our SIPP schemes operate under the ‘Relief at Source’ system, so for the 2018/19 tax year there will be no change to the way we claim basic rate relief (currently 20%).
From 6th April 2018, Scottish Tax Payers who pay 21% (or indeed 41% or 46%) will need to contact Revenue Scotland to obtain any additional relief, this will be obtained either through an adjustment to their tax code or via self assessment.
Looking ahead to 2019/20 and beyond, the newsletter states ‘We’ll continue to explore the most appropriate way to cater for the new income tax rates and bands announced by the Scottish Government, as well as future changes by the devolved administrations. To this end, HMRC will continue to engage with stakeholders to help establish an approach for the longer term.’
You can read the full newsletter here: https://www.gov.uk/government/publications/pension-schemes-relief-at-source-for-scottish-income-tax-newsletter-february-2018/pension-schemes-relief-at-source-for-scottish-income-tax-newsletter-february-2018
February 21st, 2018