Cashing in a Pension early,off setting tax due against losses

dodo

Registered User
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I am over 50 and still in full time employment and will be for another 15 years I have a pension that I am thinking of cashing in and can avail of 25% tax free and the remaining to be taxed accordingly as per PAYE revenue tax system.
When I do my Form 11 tax return and if I have made a lost with other investments for same year can I offset the loses against the income tax i will pay on 75% of my pension?

cheers
 
No. I'm assuming that the other investments would be subject to Capital Gains Tax or Exit Tax? Losses for the purpose of calculating CGT or Exit Tax cannot be offset against Income Tax payable.

If you are still in employment and don't need the other 75% you could transfer it into an Approved Retirement Fund (ARF) and you don't need to take any taxable income from that until the year in which you turn 61.

Generally it's better to leave your pensions alone until you actually retire from work so that your tax rate will most likely be lower.