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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › F6 Taxation (Annual allowance)
Hello there everyone,
A question on Annual allowances.
Does the Annual Allowances of 40,000 get used up by both the employer and employee contributions?
Also there are 2 types of pension contributions:
1. Occupational:
Does the Annual allowances get used up by both the employer and employee contributions?
2. Personal pension:
Same question here, does the AA get used up by both the employer and employee contributions?
A massive thank you for your help!
🙂
1.Yes – employer contributions as well as employee contributions count towards the AA – we look at the “total pension input”
2. There are 2 types of pension scheme as you state and both employer and employee contributions count towards the AA as stated above