Former members of the military who receive an armed forces pension are being advised to check how much tax they are paying amid concerns HMRC may have issued an incorrect code
HMRC has put out a notice warning there may have been cases where the department has not used the correct primary source of income to calculate the tax code.
This follows reports that Veterans UK, which is part of the Ministry of Defence and administers the armed forces pension schemes and compensation payments for those injured or bereaved through service has seen an increase in member’s calls to the armed forces pension payment provider (Equiniti Paymaster) querying individual tax codes.
Where members are in employment and in receipt of a pension HMRC may have incorrectly based the tax code on an individual’s pension rather than their main salary.
Anyone who thinks their tax code may be wrong is advised to use the income tax online checking service to tell HMRC about a change in circumstances.
The income tax online checking service is here.
Report by Pat Sweet
