- This topic has 10 replies, 2 voices, and was last updated 9 years ago by
.
- Posts
Hi tutor,
In kaplan kit ques no 32 “Duke and Earl” I am not clear with part C of this question. Can you please explain?Question was
Advice Duke and Earl of the max additional amounts that they could have contributed in to pension schemes for the tax year 2014/2015 for which they would get tax relief and which would not incur an annual allowance charge, and the date by which any qualifying contributions would have had to have been paid?
In answer it is stated as:
Duke:a. Duke could therefore receive tax relief on additional contributions up to £119,000 (£154,000relevant earnings-35000 gross contribution paid).
b. however, if his gross contributions exceed 55000( £40,000 plus unused AA limit of 5000 (£50,000-450000) in each of the last three years) an annual allowance charge will arise.
Earl: Earl has already made a pension contribution in excess of his earnings for 2014/2015, and so any additional pension contribution would not have qualified for any tax relief.Hi Ema – I will try and get a copy of the kit and get back to you with an answer once I have seen the full question,
I can send you the pic of the question if you say so. If yes then please do tell how should I share it with you. So that I can get the answer soon.
Hmmm not sure how that can be done – don’t worry I will find a copy of the kit and get back to you as promised just continue with other work until I do so!
Glad to say I now have a copy of the question so please tell me exactly what is the problem you have with any part of the answer to part (c) of the question.
In answer at the back in part (c) under sub heading of Duke and Earl. I need to understand the statements written there.
Have you worked through the OT notes and lecture for chapter 10 as you should then be able to understand what is being said in that answer – if there is some part of that answer that is still a problem for you then please specify
- You must be logged in to reply to this topic.