Tapered AA was introduced in HM Revenue and Customs (HMRC) legislation on 6 April 2016.
If you have an NHS Pension and are a high earner, it puts limits on the amount of tax relief you can get on your pension contributions.
The limit is based on the amount of taxable income you have.
It applies to everything you save towards your pension and pension benefits, not just your NHS Pension Scheme benefits.
Your State Pension does not count towards your tapered AA.
From 6 April 2023, the Taxable income is £200,000 and the Adjusted income is £260,000.
If you go over the adjusted income limit, your AA will be reduced by £1 for every £2 of adjusted income over the limit.
From 6 April 2023, the minimum tapered AA is £10,000.
Information on how to calculate your income and view previous amounts can be found in the HMRC Pension Tax Manual.