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personal pension contributions

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › personal pension contributions

  • This topic has 1 reply, 2 voices, and was last updated 11 years ago by Tax Tutor.
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  • November 28, 2013 at 7:53 pm #148366
    aishaasad
    Member
    • Topics: 159
    • Replies: 182
    • ☆☆☆

    hello Sir
    i am confused when should i refer to relevant uk earnings and when to effective annual allowance.
    for example if a trading profit is 34000 and pension contribution is 40000 gross then shall i see the greater of 3600 and 34000. and when do we add the excess contribution to the relevant uk earning please clear it
    regards

    December 1, 2013 at 1:59 am #148735
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    Only 34,000 would achieve tax relief with no relief for the excess. The AA is not relevant as the qualifying contributions have not exceeded 50,000. Review illustration 2 chapter 9

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