Press and New Comments

New Legislation from April 2011

Legislation will be introduced in Finance Bill 2011 to remove the pensions tax rules that currently create an obligation for members of registered pension schemes to secure an income, usually by buying an annuity, by age 75 from April 2011.

Legislation details 'Removing the Effective Requirement to Annuitise by Age 75':-

Download link:- Pdf file (right click and save as).

More explanations in 'Responses to the Consultation Document', which can be downloaded via this link:-

Download link:- Pdf file (right click and save as).

From April 2011:-

• it will enable individuals with Defined Contribution pension savings from which they have not yet taken a pension to defer a decision to take benefits from their scheme indefinitely on and after that date;

• it will enable individuals with a lifetime pension income of at least £20,000 a year to gain access to their draw down pension funds without any cap on the withdrawals they may make on or after that date withdrawals will be taxed as income;

• the age 75 ceiling will be removed from most lump sums to which entitlement arises on or after that date;

• the tax rate on lump sum death benefits will be 55 per cent for deaths on or after that date and without additional inheritance tax;

Coalition Government budget changes 2010

ASP compulsion now to age 77.

The document can be downloaded via Pdf file

http://www.hmrc.gov.uk/budget2010/pensions-all.pdf

Pensions - Transitional deferral of effective requirement to buy an annuity to age 77

The Government has announced that it will end the effective requirement for members of registered pension schemes to purchase an annuity by age 75 with effect from 2011-2012.

As an interim measure members of registered pension schemes, who reach age 75 on or after 22 June 2010, won’t have to buy an annuity or otherwise secure a pension income until they reach age 77. This will enable all such members to defer their decision on what to do with their pension savings until the new rules are finalised next year.

	C A P P A The Compulsory Annuity Purchase Protest Alliance
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New Legislation from April 2011 Legislation will be introduced in Finance Bill 2011 to remove the pensions tax rules that currently create an obligation for members of registered pension schemes to secure an income, usually by buying an annuity, by age 75 from April 2011. Legislation details 'Removing the Effective Requirement to Annuitise by Age 75':- Download link:- Pdf file (right click and save as). More explanations in 'Responses to the Consultation Document', which can be downloaded via this link:- Download link:- Pdf file (right click and save as). From April 2011:- • it will enable individuals with Defined Contribution pension savings from which they have not yet taken a pension to defer a decision to take benefits from their scheme indefinitely on and after that date; • it will enable individuals with a lifetime pension income of at least £20,000 a year to gain access to their draw down pension funds without any cap on the withdrawals they may make on or after that date withdrawals will be taxed as income; • the age 75 ceiling will be removed from most lump sums to which entitlement arises on or after that date; • the tax rate on lump sum death benefits will be 55 per cent for deaths on or after that date and without additional inheritance tax; Coalition Government budget changes 2010 ASP compulsion now to age 77. The document can be downloaded via Pdf file http://www.hmrc.gov.uk/budget2010/pensions-all.pdf Pensions - Transitional deferral of effective requirement to buy an annuity to age 77 The Government has announced that it will end the effective requirement for members of registered pension schemes to purchase an annuity by age 75 with effect from 2011-2012. As an interim measure members of registered pension schemes, who reach age 75 on or after 22 June 2010, won’t have to buy an annuity or otherwise secure a pension income until they reach age 77. This will enable all such members to defer their decision on what to do with their pension savings until the new rules are finalised next year.
CAPPA's Clipping Library Collection. If you read any press articles making mention of the case for abolition, please clip them out, ensure the name & date of the publication are visible, then post them to Tony Davies, CAPPA Membership Secretary, 85 Oldfield Rd. SHEFFIELD S6 6DU. These clippings help CAPPA find out the effectiveness of our publicity campaign. Alternatively, e-mail us with a url link if possible. HELP US SCRAP THE TRAP! See "How Can I Help"