UK Gov't Seeks Way Out Of Pensions Tax Relief Anomaly

Law360, London (July 21, 2020, 4:30 PM BST) -- The government is looking for a solution to a "fiendishly complex" accounting anomaly that industry groups say deprives the country's lowest earners of £150 million in pensions tax relief every year.

HM Treasury launched a consultation on Tuesday on proposals to change the so-called net pay anomaly, something the government had promised to tackle in its election manifesto last year.

Pension schemes use a range of accounting systems, which means some low-income workers miss out on 20% income tax relief on their contributions. Pensions consultant Hymans Robertson said the different approaches mean that 1.5 million employees are effectively losing £150 million a...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS

Related Sections

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Beta
Ask a question!