Are state pension payments taxable? How tax is paid if you get state and private pension | Personal Finance | Finance


“If you get payments from more than one provider (for example, from a workplace pension and a personal pension), HM Revenue and Customs (HMRC) will ask one of your providers to take the tax off your State Pension,” the Government explains.

“At the end of the tax year you’ll get a P60 from your pension provider showing how much tax you’ve paid.”

While there is a state pension age – which is a threshold which needs to be reached to get the UK state pension – there is no set retirement age in the UK.

It means some may opt to claim the state pension and continue to work.

Those in this situation will see their employer take any tax due off their earnings and the state pension – something known as Pay As You Earn (PAYE).

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