HMRC is tightening its control over pension tax relief claims by higher earners, according to reports. The Labour Party government's taxman plans to ask more taxpayers for evidence to support their claims.

HMRC says it will be “lowering the threshold” for requiring evidence in support of requests for pensions tax relief. For workplace “net pay” pension schemes, full tax relief is applied automatically and for personal pensions, HMRC gives the basic rate 20 per cent tax relief.

HMRC also lets higher and additional rate taxpayers claim the extra tax relief via their self-assessment tax return. But it is lowering the threshold for requiring evidence on personal pension relief claims to “protect taxpayers’ money”.

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