An unexpected tax bill for older people

Thousands of older people who had filled in self-assessment tax returns may not have realised they had a bill to pay.

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Check your codes to avoid unpleasant surprises
(Image credit: Aldo Murillo)

Thousands of older people who have just completed self-assessment tax returns in time for the 31 January deadline may have been surprised and disappointed to discover they had a bill to pay. That's because while private pensions are generally taxed at source, the tax system often fails to ensure you pay the right amount of tax if you have more than one.

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David Prosser
Business Columnist

David Prosser is a regular MoneyWeek columnist, writing on small business and entrepreneurship, as well as pensions and other forms of tax-efficient savings and investments. David has been a financial journalist for almost 30 years, specialising initially in personal finance, and then in broader business coverage. He has worked for national newspaper groups including The Financial Times, The Guardian and Observer, Express Newspapers and, most recently, The Independent, where he served for more than three years as business editor.