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TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15979
Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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. Please advise. Last September my wife & I surrendered

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. Please advise. Last September my wife & I surrendered some sub policies of a joint personnel investment plan. We have each received a 'Chargeable event certificate' .
The certificates States that the tax is treated as paid.
Is this actuall the case or do we owe this amount.
I pay tax on my pensions but my wife's pensions do not put her in a tax situation.
Do I have to send these certificates off or are they issued
Thanking you in anticipation


The tax treated as paid is exactly that. You don't have to pay it to HMRC. The following applies to each of yourself and your wife:

Take a look at HS320 here. Divide the gain by the number of relevant years as shown on the certificate. Add that figure to your other income /15. If the total is over £41,865 then you need to disclose the gain and you will have some more tax to pay.

If you are over state pension age, the gross gain is treated as income purposes of age allowance so you may lose some of your age allowance if your income in 2014/15 including the gross gain is more than £27,000 and you were born before 6 April 1948.

I hope this helps but let me know if you have any further questions.

Customer: replied 3 years ago.
Thank you very much that has taken a weight off my mind,didn't want to receive any unexpected bill.
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