Following on with our weekly breakdown of Autumn Statement announcements, this week we look at the tax treatment of foreign pensions and the detail now released in the recently released Finance Bill 2017. The core of the changes are to ensure these pension scheme are more in-line with domestic pension arrangements.
As with the bulk of the statements announcements, the changes will commence from April 2017:
Foreign pensions and lump sums fully into tax for UK residents Specialist pension schemes (section 615’s) for those employed abroad being closed Extending from 5 to 10 tax years the UK’s taxing rights over recently emigrated non-UK residents’ foreign lump sum payments from funds that have had UK tax relief Updating the eligibility criteria for foreign schemes to qualify as overseas pensions schemes for tax purposes. Funds transferred between registered pension schemes to have the same tax treatment