Tax on State Pension?

smurfchops | 12:25 Tue 02nd Jan 2007 | Business & Finance

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If my husband is still working when he receives hisState Pension at 65, does heI have to pay tax on his pension?

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Ethel

Even if your husband is not working, he will have to pay income tax on his state pension if it is above his personal allowances.

If he does work, his pension will be taken into account for income tax purposes so he will be paying more tax than he would had he got no pension.

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