Non-taxpayer and SIPP contributions

[Colonel Cupcake]

I know its probably been answered a million times before but I can't seem to find a definitive answer.

My daughter is a full time student and has already paid the maximum £2880 into her SIPP for this year. If she were to win, say, three grand on the lottery this week, would she be allowed to put that into her SIPP, albeit, without any more tax relief?

Thanks.

[Countdown]

I think the answer is “no “ but why would you? You may as well put the money into an S&S ISA and get the same benefits without the restrictions.

[alscar]

Colonel Cupcake said:

I know its probably been answered a million times before but I can't seem to find a definitive answer.

My daughter is a full time student and has already paid the maximum £2880 into her SIPP for this year. If she were to win, say, three grand on the lottery this week, would she be allowed to put that into her SIPP, albeit, without any more tax relief?

Thanks.

Pretty sure the answer is no - the £2,880 is an annual maximum tax year amount.

[Mogul]

The answer is that she would be *allowed* to put the extra in, and the SIPP provider would be allowed to claim another 25% (£750 on £3k) of ‘tax relief’ for her. Kerching!

.. then, she would be allowed to wait until 5th April 2026 when it would be clear if she had earned enough ‘relevant UK earnings’ within the tax year to justify the total amount of pension input.

…then, she would be allowed to wait until 31 Jan 2027 to decide whether or not she was obliged to make a self assessment declaration and if there wasn’t any RUK income, she could pay the £750 Annual Allowance Charge at that point, or at a later date if the interest/penalties weren’t too salty.

… and finally, HMRC would be allowed 6/12 years to ask any pertinent questions, if there was suspicion of a careless/deliberate act.

Edited by Mogul on Saturday 3rd May 12:18