Key issues in relation to taxation for pension schemes
We help employers and trustees provide smarter and more tax efficient pension benefits for better member outcomes.
We advise on the provision of tax efficient benefits, despite the continuing reduction in the annual allowance and lifetime allowance, as well as ensuring that existing tax protections are maintained. Clients also look to us to help categorise benefits as authorised or unauthorised payments under the Finance Act 2004, advise on tax arrangements for certain investment vehicles, such as special purpose vehicles, and assist with transfers to overseas pension schemes and QROPS issues.
6 April 2024 (“LTA-Day”) marked the end of the LTA and the debut of two new tax-free lump sum allowances: the “lump sum...
Introduction Ahead of the LTA’s removal on 6 April 2024 (“LTA-Day”), HMRC’s latest newsletter was published on 4 April 2024 (“Newsletter...
Introduction 6 April 2024 (“LTA-Day”) will mark the end of the LTA and the introduction of new allowances, the “lump sum allowance”...
Introduction The Chancellor, Jeremy Hunt, delivered his Spring Budget 2024 today. Following last year’s announcements of major pensions tax...
The Finance Act 2024 paves the way for the LTA’s demise from 6 April 2024. But this brings with it a number of complications, the key one being...
In a guest article for Pensions Age, partner Lucy Dunbar takes a look at the main changes and explains what they mean for pension schemes. She...
Introduction Among the Autumn Statement’s 110 growth measures, the Chancellor of the Exchequer, Jeremy Hunt, announced a “comprehensive package...
Introduction Following on from this year’s Spring Budget, on 11 July 2023 the Finance (No.2) Bill received Royal Assent and, just a week later,...
It’s been hard to miss that pensions was a key area in the Spring Budget, but in all the excitement, it can be easy to lose track of exactly...
Introduction The Finance (No.2) Bill (“the Bill”) was published today, 23 March 2023. With the notable exception of the abolition of the LTA,...
Introduction Rumours of changes to pensions tax were rife in the run-up to this year’s Spring Budget, and many were on the money. Aiming to help...
Georgina Jones, partner, comments on the Chancellor’s latest Budget: “In a quiet Budget for pensions, the Chancellor promised us a...
Introduction On 20 July 2021, the Government published a consultation on draft clauses for the Finance Bill 2021-22. Among these are clauses which...
Introduction Rishi Sunak delivered his much trailed second Budget today. Much of his focus was of course on helping the economy bounce back in these...
Introduction The latest addition to PASA’s suite of GMP equalisation guidance notes was published yesterday, the highly anticipated tax guidance...
Claire Carey, partner, has commented in Professional Pensions on PASA’s new guidance on GMP equalisation and tax issues. Read the full coverage...
Sacker & Partners LLP (Sackers), the UK’s leading specialist law firm for pensions and retirement savings, today welcomes the new guidance from...
Introduction After only a few weeks in the job, the Chancellor, Rishi Sunak, today delivered his first Budget. Whilst much of his focus was on...
On 11 March 2020, the Chancellor, Rishi Sunak, delivered the 2020 Budget Claire Carey, partner, commented: “Having only been in office for a few...
Introduction On 20 February 2020, HMRC released long-awaited guidance (“the Guidance”) on some of the pensions tax issues arising when equalising...
Senior Associate, Katharine Swire, considers changes to tax reform in recent years. 2006’s pensions tax ‘simplification’ has been followed...
Introduction After a long wait, HMRC has revised its internal VAT manual to make clear that the VAT treatment for professional fund management costs...
Introduction On 23 November 2016, Philip Hammond delivered his first Autumn Statement as Chancellor of the Exchequer. It will no doubt come as a...
Introduction The Finance Act 2016 received Royal Assent on 15 September 2016. The Act, which introduces provisions announced by the Chancellor in...
While the Chancellor’s Budget on 16 March did not reveal a radical reform of pensions tax relief, the introduction of a new lifetime ISA...
Introduction While George Osborne’s eighth Budget did not herald a major shift in the pensions tax relief system this time around (see our Alert...
Background HMRC is consulting on draft regulations and an accompanying draft explanatory memorandum on changes to the information requirements for...
Introduction As part of the March 2015 Budget, the Government announced its desire to extend the retirement flexibilities to annuity holders (see our...
Introduction On 9 December 2015, the Government published draft clauses for the Finance Bill 2016 (“the Bill”) for consultation, with a view to...
Introduction The Finance (No. 2) Bill 2015 (“the Bill”) received Royal Assent on 18 November 2015 and is now known as the Finance (No. 2) Act...
Introduction On 26 October 2015, HMRC issued its latest missive in the long running saga regarding the recoverability of VAT on professional fund...
Since 6 April 2010, individuals have generally had to wait until their 55th birthday before taking benefits (instead of age 50 as previously),...
Under section 270 of the FA04, the scheme administrator is responsible for the tax affairs of the scheme and for ensuring that it complies with its...
Since A-Day (6 April 2006) payments by registered occupational pension schemes are categorised as either authorised or unauthorised member or...
Introduction On 15 July 2015, the Government published its Summer Finance Bill (“the Bill”) with a view to introducing a number of provisions...
Introduction In the first Conservative Budget since 1996, the Chancellor of the Exchequer has again turned his attention to pensions. In this Alert...
Introduction Following recent legislative changes, HMRC wrote to overseas pension schemes asking them to confirm whether they continue to meet the...
Introduction The recoverability of VAT on professional fees paid in respect of occupational pension schemes has been in the spotlight recently....
Introduction Still dealing with the fallout from the Chancellor’s announcements in the 2014 Budget, the UK pensions industry gave an audible sigh...
Introduction The Taxation of Pensions Bill (the Bill) was formally published on 14 October 2014. This follows the publication of a draft of the...
Introduction On 6 August 2014, HMRC published for consultation draft guidance and legislation which will implement the changes to the pension tax...
Introduction The position in relation to the recoverability of VAT on professional fees paid in respect of occupational pension schemes has been in...
Background The 2014 Budget proposed significant changes on the use of individuals’ DC pension pots at retirement. HM Treasury’s...
Introduction The standard LTA will reduce from £1.5 million to £1.25 million on 6 April 2014. To assist individuals who have built up pension...
Introduction Certain changes are being introduced with effect from 27 March 2014 to give greater flexibility for both DB and DC members now ahead of...
Introduction With the standard LTA reducing to £1.25 million from its current level of £1.5 million from 6 April 2014, individuals with existing...
Introduction Having been expected to give pensions a wide berth, George Osborne’s fourth Budget as Chancellor (delivered on 19 March 2014)...
Introduction On 10 December 2013, the Government published the draft Finance Bill 2014(“the Bill”). The Bill includes provisions which...
Introduction Pensions are once again headline news, as the Chancellor announced in theAutumn Statement on 5 December 2013 measures that will see...
Background The joint HMT/ HMRC consultation on Individual Protection from the Lifetime Allowance Charge seeks to assist those with pension savings...
Introduction Following a consultation on draft provisions at the end of 2012,1 the Government has formally published the Finance (No.2) Bill) (the...
Introduction The European Court has rejected a claim that workplace DB pension schemes in the UK should be exempt from paying VAT on investment...
Introduction The draft Finance Bill 2013 was published for consultation on 11 December 2012. The Bill includes a number of measures for pensions,...
Introduction The Chancellor, George Osborne, delivered his Autumn Statement on 5 December 2012. While the Government takes comfort from the...
Introduction Following concerns raised by the pensions industry, HMRC has issuedguidance clarifying its position on fixed protection and continued...
Introduction A threat to fixed protection has emerged from an unexpected source – continued life cover in respect of an individual’s...
Introduction With the standard LTA reducing to £1.5 million from 6 April 2012, individuals with existing pension savings need to consider whether to...
Introduction On 6 December 2011, the Government published the draft Finance Bill 2012. The Bill includes the changes to asset backed...
Introduction It has been announced today that the Finance Act 2011 received Royal Assent on 19 July 2011. The Act brings onto the statute books...
Introduction The third Finance Bill of the 2010/11 Parliamentary session was formally published on 31 March 2011, and will ultimately implement the...
Introduction Changes to pensions tax relief have been headline news since the former Labour Government first announced restrictions in April 2009....
Introduction The reduced AA of £50,000 from the tax year 2011/12 will inevitably affect a greater number of pension savers than the current AA of...
Introduction What is a PIP? A “pension input period” (PIP)1 is used to assess annual increases in the value of members’ pension savings for...
Background The joint HMT / HMRC consultation (published on 30 November 2010 ) on “Options for meeting high annual allowance charges from pension...
Introduction The New Year brings with it the introduction of new tax measures for pension schemes. But with 6 April 2011 fast approaching, some...
Introduction When the Government published its final plans for restricting pensions tax relief on 14 October 20101, the headline issue was the...
Introduction Section 251 of the PA04 has been troubling both trustees and employers. It appears to prevent a payment being made to an employer out of...
Introduction The Government has today published its final plans for the restriction of pensions tax relief. In a move which will come as a relief...
Background From April 2011, the Government’s intention is that tax relief on pension savings should be reformed – to reduce the complexity...
Introduction The pensions industry breathed a collective sigh of relief when A-Day (6 April 2006) came and went, and the world did not end. Since...
Introduction In the Coalition Government’s emergency Budget on 23 June 20101, the Chancellor, George Osborne, announced a review of the former...
Introduction In the Coalition Government’s first Budget, the Chancellor George Osborne declared Britain “open for business”. However, billed by...
Introduction Prior to the FA04, exempt approved occupational pension schemes were required to keep any actuarial surplus within certain parameters....
So, David Cameron is Prime Minister and the Conservatives have entered a coalition with the Liberal Democrats to form a Government. What does this...
Introduction In his last Budget before the General Election, the Chancellor, Alistair Darling, confirmed the Government’s intention to implement...
Background HMRC and HMT published a consultation on 9 December 2009 on the proposal to restrict pensions tax relief for high earners from 6 April...
