This year, I have earned some additional income above and beyond my PAYE earnings. As such, I have to pay income tax on this money next year.
I have a DB pension and I now have the opportunity to buy a year of temporary service which was the first year of my employment, when I was on a probationary period, before being made permanent. So this is a purchase of notional service I suppose.
I know I can get a tax reduction on the pension lump sum (e.g. if I pay €1000 lump sum towards my pension, it only costs me €600, right?) but can I use this pension payment to reduce the income tax I owe on the money earned in 2020?
I think I remember hearing this somewhere, but can't find any posts...
I have a DB pension and I now have the opportunity to buy a year of temporary service which was the first year of my employment, when I was on a probationary period, before being made permanent. So this is a purchase of notional service I suppose.
I know I can get a tax reduction on the pension lump sum (e.g. if I pay €1000 lump sum towards my pension, it only costs me €600, right?) but can I use this pension payment to reduce the income tax I owe on the money earned in 2020?
I think I remember hearing this somewhere, but can't find any posts...