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Annual Allowance Tax Year End Quiz Webinar

Session: 27 January 2021

Each tax year end our technical team get asked a lot of questions about tax and pensions! This year our technical team hosted three tax year end themed quiz webinars. On this webinar, Barrie Dawson, Technical Manager covered the common things to think about when it comes to Annual Allowance with a tax year end slant on things.

Learning Outcome

  • Common questions relating to tax year end annual allowance planning 

Presenter – Barrie Dawson –Technical Manager

To claim your CPD certificate, test your knowledge with the questions below.

Write down your answers to each of the following questions and check your answers when you click through to claim your CPD certificate on the link below.

Test your knowledge

1. When considering tax year end annual allowance planning, which one of these is the odd one out?

a. Pension input amounts

b. Relevant earnings

c. Dividend income

d. Carry forward

 

2. Which one of these is most useful for a financial planner when trying to determine a clients pension input amount history?

a. Payslip

b. Unit Transaction History

c. Retirement Benefit Statement

d. Pension Savings Statement

 

3. Ryan is due a bonus in May of £50,000 on top of his £90,000 salary. He wants to use his bonus to make a pension contributions before he retires at the end of the year. His pension input amounts are as follows?

2020/21 - £40,000

2019/20 - £40,000

2018/19 - £40,000

2017/18 - £20,000

If Ryan waits until he receives his bonus, can he make the most of his unused annual allowance?

a. Yes

b. No

 

4. Gary has been a member of a pension scheme for ten years, but no contributions have been paid since 2015. His salary for this tax year will be £28,000. It’s normally higher, but there’s been no overtime due to Covid – 19. His unused annual allowance for the 3 is as follow:

2017/18 - £31,000

2018/19 - £29,000

2019/20 - £32,000

How much can Gary carry forward from the last three years to support a personal contribution?

a. £160,000

b. £0

c. £120,000

d. £92,000

 

To claim your CPD certificate, click here.

 

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