Neil MacGillivray: It pays to be aware of PAYE perils

Tax can be overpaid

clock
Neil MacGillivray: "The PAYE system has many quirks and is reliant on an accurate tax code that can only be provided by HMRC."
Image:

Neil MacGillivray: "The PAYE system has many quirks and is reliant on an accurate tax code that can only be provided by HMRC."

Real-time information has improved the speed with which adjusted PAYE tax codes can be applied but, warns Neil MacGillivray, advisers should make sure their clients are aware they may be overtaxed and what to do if this happens

One of my colleagues sent me a link to a Radio 4 Money Box podcast where Paul Lewis claimed hundreds of thousands of people who had used pension freedom to take lump sums had been overtaxed by thousands...

To continue reading this article...

Join Professional Adviser

 

  • Unlimited access to real-time news, industry insights and market intelligence.
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters.
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection.
  • Tap into our community intellignece through our regular Pro Adviser poll.
  • 
 Be the first to hear about our events and awards programmes.

Join

 

Already a Professional Adviser member?

Login

More on Retirement

Ercan Demiralay: "It is important to factor in that some of those required to pay IHT will receive hefty bills that they will not be able to pay out of liquid assets."

Ercan Demiralay: How a Budget IHT shake-up could affect clients

Budget on 27 October

Ercan Demiralay
clock 26 October 2021 • 4 min read
LCP calls on Chancellor to boost financial advice tax breaks

LCP calls on Chancellor to boost financial advice tax breaks

'Tackle the advice gap'

clock 26 October 2021 • 3 min read
Neil MacGillivray: "Incorporation still holds a tax advantage where profits are below £50,000."

Neil MacGillivray: The tax benefits of self-employed versus salary and dividends

Dividend tax on the rise

Tom Ellis
clock 25 October 2021 • 4 min read