Sep 09 2005

Highlights of the New "Simplified" Pension Tax Regime

General News
  • Governing legislation – Finance Act 2004, Finance Act 2005 and subsequent Statutory Instruments and Regulations.
  • New Regime starts on 6th April 2006.
  • All current and historic tax regimes will disappear and be amalgamated into one uniform regime.
  • Considerable tax exemptions for pensions arrangements continue.
  • Every tax-exempt pension arrangement will be “registered” rather than approved - a quicker and simpler process.
  • A wide range of strict compliance and audit regulations will be introduced including substantial new reporting requirements.
  • There will be self-assessment procedures for members - particularly where they benefit from scheme assets.
  • The tax treatment of non-registered schemes, such as FURBS, will change and these will be designated as “employer-financed retirement benefit schemes”.

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