Pact Accountancy

Tax relief available for personal contributions, £ 3,600 (gross) or 100% higher than the corresponding income. Personal any contribution of more than £40,000, whether individual or employer, may be subject to income tax on the individual.

It can reduce the limit to £ 4,000 after purchasing money to reach the pension. The £ 40,000 limit is not fully utilized, and it is possible to carry an unused amount for up to three years. The annual allowance is taped to those earning more than £240,000. For every two incomes above £240,000, an individual’s yearly allowance reduce from £ 4,000. Suppose the owners pay and receive tax relief on the employer’s contribution and make it entirely and exclusively for business purposes. Large amounts of tax relief can spread over many years.