My, err, friend started filling his tax form today and noticed something.
His annual salary was £5000 and he paid £5000 into a SIPP. This magically transformed into £6,410.26.
Now he's filling in the form (14.1) and he notices that the 6,410.26 is above the salary limit for putting into the SIPP.
Should he put 6,410.26 on the form and ignore the problem, or put £5,000 on the form and write to the SIPP company and try to get them to sort it out?
Or would he be better off if he suddenly remembered that his salary was actually £7,000 for the year in question and his SIPP payment was therefore OK? If this happened how would he go about paying the National Insurance which would become due?
His annual salary was £5000 and he paid £5000 into a SIPP. This magically transformed into £6,410.26.
Now he's filling in the form (14.1) and he notices that the 6,410.26 is above the salary limit for putting into the SIPP.
Should he put 6,410.26 on the form and ignore the problem, or put £5,000 on the form and write to the SIPP company and try to get them to sort it out?
Or would he be better off if he suddenly remembered that his salary was actually £7,000 for the year in question and his SIPP payment was therefore OK? If this happened how would he go about paying the National Insurance which would become due?
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