The Chartered Institute of Payroll Professionals ……………………………………………………………Policy News Journal
We also think our payroll software comparison tables will be interesting to the 200,000 employers currently using the free HMRC Basic Pay Tool who have been left high and dry because it has not been expanded to include automatic enrolment functionality such as workforce assessment.”
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Pension tax for overseas pensions 12 December 2016
Draft legislation has been published which sets out the changes to the conditions to be an ‘overseas pension scheme’ and a ‘recognised overseas pension scheme’,
Geographical extent – the changes extend to all four nations of the UK.
As previously announced, the government is consulting on changes to the pension tax rules for qualifying overseas pension schemes and qualifying recognised overseas pension schemes (QROPS).
Transfers of pension savings that have had UK tax relief can be made free of UK tax (up to the lifetime limit on tax- relieved pension savings) to overseas pension schemes that meet the conditions to be a qualifying overseas pension scheme (QOPS) qualifying recognised overseas pension schemes (QROPS). The 2006 Regulations set out the conditions to be an ‘overseas pension scheme’ that a scheme must meet to be a QOPS and the conditions to be a ‘recognised overseas pension scheme’ that a scheme must meet in order to be a QROPS. The draft legislation (The Pension Schemes (categories of country and requirements for overseas pension schemes and recognised overseas pension schemes) (Amendments) Regulations 2017) amends those conditions so that it is no longer a requirement for any schemes to designate 70% of funds that have received UK tax relief to provide the individual with an income for life in order to be a QOPS or a QROPS.
A draft explanatory memorandum and draft forms of the main forms for the changes have also been published.
If you would like to comment on these drafts, please send responses via emailto pensions.policy@hmrc.gsi.gov.uk by 1 February 2017.
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HMRC pension schemes reconciliation services – closure scan 12 December 2016
A reminder to pension scheme administrators that a scan of HMRC records is due to run in December 2016.
This scan will automatically close open periods of contracted-out employment held on HMRC records, using the Scheme Contracted-out Number (SCON) provided by Employers on their Full Payment Submissions (FPS). Details of all the active members identified by the scan will be shared with you to enable you to reconcile your records.
The following information has been published by HMRC:
Reconciliation of active members – closure scan
To request the data and to help HMRC plan the support needed please complete the following closure scan request form and return it as soon as possible.
Complete Part 1 of the form where you are the administrator/third party administrator and already have Trustees approval to receive the data.
Complete Part 2 of the form where you are not the Administrator or there is a change of Administrator and don’t have Trustees approval to receive the data.
The completed form should be sent to: schemereconciliationtelephoneenquiry.inbox@hmrc.gsi.gov.uk
The Chartered Institute of Payroll Professionals
Policy News Journal
cipp.org.uk
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