Army Pensions

Defence written question – answered on 7th November 2001.

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Photo of John Greenway John Greenway Conservative, Ryedale

To ask the Secretary of State for Defence what action he will take to identify (a) Army pensioners, (b) Army widows and (c) estates which have wrongly had income tax deducted by his Department from their invalidity pensions.

Photo of Dr Lewis Moonie Dr Lewis Moonie Parliamentary Under-Secretary, Ministry of Defence, Parliamentary Under-Secretary (Ministry of Defence) (Veterans)

Following the discovery of a taxation error affecting Army invaliding pensions in 1998, we have manually trawled through individuals' pension files, including widows and dependants, and publicised the matter through the ex-service organisations and the War Widows Association. This publicity has included articles in their journals and circulars. All those identified as being incorrectly taxed, except a small number currently under investigation, have received a full refund with compensation. The Ministry of Defence has no plans to undertake further action on this matter.

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