What is P53Z Form?
One consequence of the recent use of "flexible retirement benefits" is that you are taxed for what you "take". Since this can be 45% regardless of your normal tax level, it can be an amount on Form P53Z to claim this excess tax if you have used your entire pension fund and received other taxable income.
When Do You Need the P53Z Form?
You will need this form if you are retired and have withdrawn the full amount of your pension as a "flexibility" benefit, but you also have other taxable income. This may concern taxable savings, wages, or benefits (employment and maintenance benefit, taxable disability benefit, jobseeker's benefit).
What Information Should I Have to Complete This Form?
You should have the following information to complete p50z
● Your complete name
● Permanent address
● Telephone number
● Your free time to contact
● Date of birth
● National Insurance number
● Employer PAYE reference number
● Amount of your pension
● Amount of income received since leaving your last employment
● Type of income
● Total amount of tax you paid
Instructions for the P53Z Form
Provide the following information when preparing tax form P53Z:
● Personal information (including title, full name, date of birth).
● Additional identifiers (for your current employer's Social Security number and Pay As You Earn reference number, if applicable).
● Your contact details and when you can be reached.
● Breakdown of salaried and self-employed income (if you plan to receive it in the tax year in question). Note that the estimated amount of taxable benefits must also be disclosed.
● AOW income and taxable government subsidies and benefits.
● You may have critical and untaxed interests in saving and investing in the housing market. The dividends you are currently receiving from UK companies.
● Other sources of income (for example, trusts, foreign income or real estate).
● The amount of gift support you plan to make during the fiscal year.
● The address of the person who will receive a check for you if you want to nominate a nominee instead of getting the refund yourself.
When Should You Not Use the P53Z Form?
If you withdraw your pension in one go and have no taxable income, use form P50Z instead. If this doesn't apply to you, there are plenty of tax forms to cover for safety; we can help you find the right one.
How Do I Submit the P53Z Form?
There are three options for the presentation. You can simply print the form, handwrite it and send it to HMRC the old-fashioned way. Or you can fill it out "on-screen" and then print and publish.
The address you need is:
● Pay what you earn
● HM Tax and Customs
● BX9 1AS
Alternatively, the last option is to complete and submit with your GOV.UK account Confirm so that the whole process takes place online. If you don't have a Verify account, it will take about 15 minutes to set up. It takes about 30 days after receiving the application. Better than waiting until the end of the fiscal year.