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Across the County Tax Tips continued


For example, a woman who only has the married woman’s state pension of £66.00 a week, has never had to worry about tax and may have notified their bank for interest to be paid gross rather than net of tax. When her husband dies she inherits half of his occupational pension, gets an increased state pension based on his national insurance contributions, and may have more investment income. Suddenly she is a taxpayer. She is not on the HMRC computer system and probably is totally unaware that she will be liable to pay tax. At this very difficult time, when she is at her most vulnerable, she is supposed to know that she needs to complete an R27, inform HMRC of changes in her income, check any information that is sent to her in relation to tax codes and remember to revoke any R85s she has in place. We find that it normally takes about six months to get everything in order and, we also recommend an end of year check and review of the following year, to check that all is well. This article is by Tax Help for Older People (operated by registered charity no 1102276), offering free tax advice to older people on incomes below £17,000 a year. The Helpline number is 0845 601 3321 or geographical 01308 488066


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42 Continued on page 44 > > > >


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