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Do I need an accountant now I am not self employed

After being self employed for much of my life I retired last September and just getting the usual books to my accountant. A simple question as I am on my Pension (paid for one - not state pension as 60 years old) will I need to use an accountant again. Apart from pension I have income from savings, my wife doesn't work and also has a small pension and will be getting the state pension in a few months. So I don't think there is anything complex - well I don't think so - is there.

In future will I get a form to complete and return and is it easy enough as my brain is getting more and more rusty :-)

Reply to
Ken
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I'd ask your accountant to do the first year of retirement and also spend a little extra time showing you how to do it yourself in future years.

Reply to
PeterSaxton

Good thought and I will ask him when we meet tomorrow.

Ken

Reply to
Ken

Ken, I took early retirement in 1997 from self-employment. I haven't filled in a tax form since then.

My private pension company has become my 'employer' and works out the code for taxation purposes. The state pension is not taxed.

DJ

Reply to
David J

For clarity, State Pension is taxable / taxed, but usually (and I deduce this applies in your case) the tax is deducted by tweaking the Tax Code applied to your Private Pension.

Reply to
Martin

Saw my accountant earlier and he was surprised my private pension wasn't being taxed but said the amount for this tax year would be payable by me in January 2010. Spoke to my pension adminstrator who is adamant he has to follow instructions he gets from HMRC and so he is paying gross amount.

Ken

Reply to
Ken

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The pension administrator is correct. When you submit your tax return you - and he - should get a different code.

Reply to
PeterSaxton

The pension administrator is correct. When you submit your tax return you - and he - should get a different code.

Do you think I should call HMRC (to update them) as my accountant only knew of this pension when I saw him this week. I would rather pay net and not have future lumps sums to pay off.

Thnaks for your help

Ken

Reply to
Ken

Yes, there's no harm in doing that.

Reply to
PeterSaxton

Thanks for your help and I will call Monday Ken

Reply to
Ken

I don't think is strictly true - does it not contribute to your taxable income?

Reply to
Judith Smith

I think that advice is wrong.

I do not think that the pension administrator is correct - unless your total earnings are less than the tax free allowance.

I would ask the pension provider for their tax reference number and inform HMRC - and let them work it out.

If you do not do this then there will be a danger that you should have paid tax on it and haven't - and you will be liable for a lump sum come October time.

Reply to
Judith Smith

Yes it does. I got my Notice of Coding for 2009 - 2010 from HM R&C only this morning, and it tells me that there.

Reply to
DB.

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