Some of you have to pay federal income taxes on your Social Security benefits. This usually happens only if you have other substantial income in addition to your benefits (such as wages, self-employment, interest, dividends and other taxable income that must be reported on your tax return). You will pay tax on only 85 percent of your Social Security benefits, based on Internal Revenue Service (IRS) rules. If you: Your adjusted gross income = Your "combined income" Each January, you will receive a Social Security Benefit Statement
(Form SSA-1099) showing the amount of benefits you received in the previous year. You can use this Benefit Statement when you complete your federal income tax return to find out if your benefits are subject to tax. If you currently live in the United States and you misplaced or didn't receive a Form SSA-1099 or SSA-1042S for the previous tax year, you can get an instant replacement form by using your online my Social Security account. If you don't
already have an account, you can create one online. To get your replacement Form SSA-1099 or SSA-1042S, select the "Replacement Documents" tab to get the form. If you do have to pay taxes on your Social Security benefits, you can make quarterly estimated tax payments to the IRS or choose to have federal taxes withheld from your benefits. For more information about taxation of benefits, read our Retirement Benefits booklet or IRS Publication 915, Social Security and Equivalent Railroad Retirement Benefits. Find out about paying tax if you have retired or receive a pension, and learn about the range of allowances and help that is available. As you get older there are age-related allowances that can reduce how much tax you pay. Some allowances are income amounts which aren't taxed. Other allowances reduce your tax bill. When you get money from a pension you pay tax on any income above your tax-free Personal Allowance. How much Income Tax you pay depends on the tax rate that applies to you.
Tax relief on pension contributionsThe government encourages you to save for your retirement by giving you tax relief on pension contributions. Tax relief reduces your tax bill or increases your pension fund.
Tax on savings interestMost people can earn some income from their savings without paying tax. This is called a Personal Savings Allowance which applies to each tax year, from 6 April to 5 April the following year.
Reclaiming overpaid tax on savingsIf you think you've paid tax on your savings interest when you didn't need to, or paid more than you should have, you can claim it back. You can download form R40 to do this, or contact your local tax office or the HMRC Office.
Tax on dividendsYou may get a dividend payment if you own shares in a company.
National Insurance contributionsFind out about your National Insurance contributions If you’re employed, or self-employed when you reach State Pension age.
Blind Person's AllowanceIf you're registered as blind you can claim Blind Person's Allowance. This is an amount of income you can get without paying tax.
Married Couple's Allowance (includes civil partnerships)Find out if you can claim Married Couple's Allowance if you are married or in a civil partnership.
Maintenance Payments ReliefMaintenance Payments Relief reduces your Income Tax if you make maintenance payments to an ex-spouse or civil partner.
Tax if you're employed and getting a pensionWhen you get money from a pension you pay tax on any income above your tax-free Personal Allowance.
Retired but starting a new jobIf you start a new job after retiring, your employer will need to tell HMRC so they can make sure that you're paying the right tax.
Tax if you're self-employed and getting a pensionIf you're self-employed and getting one or more pensions as well as the State Pension, you'll pay tax in a number of different ways.
Becoming self-employed for the first timeIf you start working for yourself, you’re classed as a sole trader - even if you haven’t yet told HM Revenue and Customs (HMRC). You must register and follow the rules for self-employed tax and National Insurance.
If you're self-employed and worried that you're paying too much tax or if you have any other questions about tax and self-employment after State Pension age, you can contact your Tax Office.
Or, if you're newly self-employed, you can call the Newly Self-Employed Helpline.
Working or self-employed and on a low incomeIf you're earning a wage and receiving a pension or you're self-employed and you get a pension but have a low income, you may be able to claim Pension Credit.
If you think you're paying too much taxIf you think you're paying too much tax or shouldn't be paying tax at all, you may be able to claim a tax refund.
Appointing someone to deal with HMRC on your behalfYou can allow someone else to deal with HM Revenue and Customs (HMRC) for you, for example, an accountant, friend or relative.
Tax if you leave the UK to live abroadYou must tell HM Revenue and Customs (HMRC) if you are leaving the UK to live abroad permanently or you’re going to work abroad full-time for at least one full tax year.
Paying tax if you retire in NI after living abroadFind out if you need to pay UK Income Tax on your foreign income, including income from pensions held overseas.
Contacting your tax officeHM Revenue & Customs (HMRC) is responsible for collecting, paying, administering and enforcing taxes.
Help and adviceThe organisations below can provide you with free, independent tax advice. The list isn't exhaustive and the links are to external organisations which are not managed by HMRC.
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