I've been getting this for quite a long time and have just started drawing my state pension but also draw a private pension. I couldn't understand why I was paying so much tax so rang them. I really didn't realise that your pip/dla is calculated in with your pensions and the amount you get is taken off your personal allowance!!! So now as pensioner I am paying more tax than I have for years!! Maybe I miss understood, but I thought pip/dla was tax free?