An individual can make any contribution to a personal pension scheme. These payments are made net of basic rate tax of 20%. However the maximum tax relievable contributions are the higher of:
(a) £3,600
(b) an individual's relevant earnings chargeable to income tax in that year.
Can you please explain what is meant by the maximum tax relievable contributions?
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Pension Schemes (Maximum tax relievable contributions)
Have you read / listened to the lecture on Chapter 10 in the OT course notes?
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