Annual tax optimization of your IPT 2022: keep an eye on your mailbox
3 min read
> Did you know that Life Experts always pre-fills the information known to us on the information form sent to you? This way, we do not needlessly ask you to enter things again and again, and you only need to report changes. Easy, right?
An IPT (an individual pension commitment funded by your company) ensures that, as a paid director of a company, you can build up a supplementary pension capital in a tax-efficient way. The premiums are always paid by the company and are tax-deductible when they fall within the so-called 80% rule.
Life Experts checks the 80% rule for its clients every year toward the end of their financial year. Since many financial years still coincide with calendar years, most of our clients will receive an information form during the months of September or October, so that we can check their IPT by the end of 2022.
Why check your IPT?
It could be that your company can still pay in more this financial year. This gives you more tax advantage and a higher capital at pension date. You definitely do not want to miss out on that.
On the other hand, it may be that your premium needs to decrease slightly. Otherwise your company would pay too much premium and would not be able to deduct it for tax purposes. That is of course not the intention.
Life Experts does what is needed for you, but we need your input.
You only need to respond if you receive an email from us. Let us briefly explain this. We require 4 things.
1. You will receive an information form from us by email. Please check the first part yourself and correct or complete it if necessary. This concerns, for example, your marital status and tax status. Even if nothing needs to change, we ask you to confirm this.
2. We ask you to provide your MyPension file and MyCareer files. The latter only if we do not already have it. For this, we will send you a clear guide. You provide this information to us by email, together with the information form.
3. We ask you to fill in our online profile test. Both we and you will automatically be sent the calculated result. The profile test enables us to optimize your contract, not only from a tax perspective, but also financially.
4. Finally, we send the same information form to your accountant, asking him or her to complete the second part, so that we have the correct salary data. New this year is that we are also requesting the 2020 salary data, in case we do not already have it. This is due to new regulations that have been in effect since this year.
Why is checking the 80% rule so important for this year, 2022?
We expect that the new measure will cause quite a few premiums to have to decrease. We expect that the sanctions for exceeding the 80% rule will change in the future. For that reason, it is more important than ever this year to provide us with the requested information accurately, completely, and on time.
Without this information, Life Experts cannot give appropriate advice, and therefore also cannot take responsibility for the accuracy and tax deductibility of your IPT.
What will Life Experts do for you?
We calculate the optimal premium and make you and your accountant a proposal to adjust your IPT contract before the end of your financial year.
Curious about our service? Contact one of our team members.
Questions about your own situation?
This article is general information. Your adviser will look at what it means for you.