do you pay tax on a state pension
When you get money from a pension you pay tax on any income above your tax-free Personal Allowance. How much Income Tax you pay depends on the tax rate that applies to you.Your income includes: 1  the State Pension. 2  money from private pensions (workplace, personal, stakeholder). 3  earnings from employment or self employment. 4  any taxable benefits you might get. 5  any other income, money from investments, property, savings.hen you get money from a pension you pay tax on any income above your tax-free Personal Allowance. How much Income Tax you pay depends on the tax rate that applies to you.