Legislation – The Pensions (Abolition of Lifetime Allowance Charge etc) (No. 2) Regulations 2024

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Introduction

Part 1
Introductory

1 Citation and commencement

Part 2
Amendments of primary legislation

2 TMA 1970

3 Chapter 15A of Part 9 of ITEPA 2003

4 Chapter 1 of Part 11 of ITEPA 2003

5 Sections 239 and 255 of FA 2004

6 Schedule 29 to FA 2004

7 Schedule 32 to FA 2004

8 Schedule 36 to FA 2004

9 Pensions Act 2004

10 The Pensions (Northern Ireland) Order 2005

11 Pensions Act 2008

12 Pensions (No. 2) Act (Northern Ireland) 2008

13 Schedule 18 to FA 2011

14 Schedule 22 to FA 2013

15 Schedule 6 to FA 2014

16 Schedule 4 to FA 2016

17 Schedule 9 to FA 2024

Part 3
Amendments of subordinate legislation

18 The Occupational Pension Schemes (Assignment, Forfeiture, Bankruptcy etc.) Regulations (Northern Ireland) 1997

19 The Pension Protection Fund (Compensation) Regulations 2005

20 The Pension Protection Fund (Compensation) Regulations (Northern Ireland) 2005

21 The Registered Pension Schemes (Accounting and Assessment) Regulations 2005

22 The Pensions Schemes (Application of UK Provisions to Relevant Non-UK Schemes) Regulations 2006

23 The Pension Schemes (Information Requirements for Qualifying Overseas Pension Schemes, Qualifying Recognised Overseas Pension Schemes and Corresponding Relief) Regulations 2006

24 The Registered Pension Schemes (Provision of Information) Regulations 2006

25 The Taxation of Pension Schemes (Transitional Provisions) Order 2006

26 The Pension Protection Fund (Tax) Regulations 2006

27 The Financial Assistance Scheme (Tax) Regulations 2010

28 The Pension Protection Fund (Pension Compensation Sharing and Attachment on Divorce etc) Regulations 2011

29 The Pension Protection Fund (Pension Compensation Sharing and Attachment on Divorce etc.) Regulations (Northern Ireland) 2011

30 The Registered Pension Schemes (Notice of Joint Liability for the Annual Allowance Charge) Regulations 2011

31 The Pension (Non-Taxable Payments Following Death) (Real Time Information) Regulations 2021

Signature

Explanatory note

Part 2Amendments of primary legislation

Chapter 1 of Part 11 of ITEPA 20034.

(1)

In Chapter 1 of Part 11 of ITEPA 2003 (pay as you earn: introduction), section 683 (PAYE income)4 is amended as follows.

(2)

In subsection (3)—

(a)

in the words before the list, for “(3C)” substitute “(3D)”;

(b)

in the list, for the entries for sections 636B and 636C substitute—

  • “section 637B (tax treatment of pension commencement excess lump sums),

  • section 637G (tax treatment of trivial commutation lump sums and winding-up lump sums),

  • section 637N (trivial commutation lump sum death benefits).”.
    5

(3)

In subsection (3C)—

(a)

for “section 636A(1A) to (1C) or (4ZA)” substitute “Chapter 15A of Part 9 (pension income: lump sums under registered pension schemes)”;

(b)

for “paragraph 1(3)(da) or (db)” substitute “paragraph 1(3)(e)”.

(4)

After subsection (3C) insert—

“(3D)

“PAYE pension income” for a tax year does not include any amount to which section 579A applies by virtue of any of the following provisions—

  • section 637H(2) (certain defined benefits lump sum death benefits),

  • section 637I(2) (certain pension protection lump sum death benefits),

  • section 637J(2) (certain uncrystallised funds lump sum death benefits),

  • section 637K(2) (certain annuity protection lump sum death benefits),

  • section 637L(2) (certain drawdown pension fund lump sum death benefits),

  • section 637M(2) (certain flexi-access drawdown lump sum death benefits).”.

4

Section 683 was amended by paragraph 14 of Schedule 31 to FA 2004, paragraph 60 of Schedule 10 to FA 2005 (c. 7), section 10 of FA (No. 2) 2005 (c. 22), paragraph 60 of Schedule 16 to FA 2011 (c. 11), paragraph 130 of Schedule 45 to FA 2013 (c. 29) and section 22 of FA (No. 2) 2015 (c. 33).

5

Sections 637, 637G and 637N were inserted by paragraph 41 of Schedule 9 to FA 2024.