Process to reclaim full 40% relief on nest pension

[Jakey123]

Hi all,

I have a nest pension via employer, nest reclaim 20% relief however I'm in 40% band so need to reclaim the remainder.

Does anyone know how to do this?
Tried calling HMRC but due to 'covid' its almost impossible to get through.

Thanks in advance!

[cloud_dog]

Do you usually complete a self assessment form, if so you can do it as part of this.

Can't really offer any more advice than the HMRC site:
https://www.gov.uk/tax-on-your-private-pension/pen...

[Jakey123]

Thanks for the reply.

I can only imagine the number of people not claiming the extra 20%.

I'm PAYE, never filled out a self assessment but will have a read

[alistair1234]

Jakey123 said:

Hi all,

I have a nest pension via employer, nest reclaim 20% relief however I'm in 40% band so need to reclaim the remainder.

Does anyone know how to do this?
Tried calling HMRC but due to 'covid' its almost impossible to get through.

Thanks in advance!

Is it not taken by salary sacrifice so savings are made in payslip?

[Jakey123]

I believe not.
As nest explain how they only reclaim 20%

Stating 'Tax relief is currently set to a basic rate of 20 per cent. If you’re a higher earner you’ll need to speak with HMRC directly to claim any additional tax relief.'

At this link;
https://www.nestpensions.org.uk/schemeweb/memberhe...

[Mr Pointy]

You need to phone HMRC on the number cloud_dog linked to above. Be prepared for a 20 minute wait to speak to someone.

[PorkInsider]

It's a pain in the ass, isn't it?

As said above, it can be done via self assessment but reclaiming the extra relief isn't actually one of the criteria you can use for applying to go via self assessment.

So in other words, if you have another reason to be completing self assessment you can claim the relief that way but if it's just the tax relief you need to have processed then you can't apply for self assessment (at least not online anyway).

I need to claim for the past 2 years at the moment, including some lump sums paid in, so not insignificant, but it's such a ball ache to get through and sort it that I've let it slide again...

[5pen]

I might be able to save you the bother of calling HMRC;

I did so last week to ask for a re-calculation of Income Tax paid this year (as I haven't worked since September and knew I had paid too much) and also to claim additional relief on a pension contribution.

The overpaid tax paid issue was sorted over the phone, but for the pension tax relief I was asked to write to them.

I was advised to write to;
PAYE
HMRC
BX9 1AS

together with my NI number and some evidence of the contribution made. I haven't done this yet so I cannot vouch for the effectiveness of this method, but at least you won't have to call to find out.

Incidentally, it took me 3 attempts to finally speak with someone who did what I needed - Call 1, 30 minutes to get through - spoke to a human who put me on hold then cut me off. Call 2 - automated responses to about half a dozen questions to navigate through security (5 minutes) after which a recorded message said "We're busy, try again when we aren't. Goodbye". Call 3, 30 minutes to get through, but successful (apart from the pension tax relief!).

[Mr Pointy]

5pen said:

Incidentally, it took me 3 attempts to finally speak with someone who did what I needed - Call 1, 30 minutes to get through - spoke to a human who put me on hold then cut me off. Call 2 - automated responses to about half a dozen questions to navigate through security (5 minutes) after which a recorded message said "We're busy, try again when we aren't. Goodbye". Call 3, 30 minutes to get through, but successful (apart from the pension tax relief!).

At least you didn't do what I did last week when i phoned up about a voluntary NI payment: I left my mobile on speakerphone & when after 23 minutes on hold the guy picked up I was so flustered I cut myself off & dropped the call. Many bad words were said.