Speculation is mounting that the coming budget may include measures to restrict pensions tax relief for higher earners – specifically those paying income tax at the rate of 40% or 50%.The budget is set for Wednesday 21st March 2012, and we can’t help but notice that this is getting more press comment than usual this year.It’s impossible to know whether changes are likely to happen, but suffice to say that if you’re planning on making pension contributions by the end of this tax year, 5th April 2012, and you’re concerned about any possible budget changes then you should consider making those payments before budget day.You should always seek advice on this subject prior to taking action. Note that InvestAcc Pension Administration Limited do not provide financial advice.
March 8th, 2012
We’re now making available draft discretionary trusts for advisers. These are sometimes known as Spousal Bypass trusts, or occasionally as Pilot Trusts, and if used properly can save eventual inheritance taxes by avoiding payment of a lump sum death benefit direct to a surviving spouse, but still allowing the spouse to benefit at the trustees discretion. The draft trusts aren’t available for download from our website – contact us for information on 01228 538 988.
February 24th, 2012
The gilt yield (used to calculate the maximum income for Capped Drawdown) for September 2011 is at an all time low, meaning that maximum income for new Capped Drawdown cases in October will be squeezed even further. The effect of the new income limits introduced in April 2011, together with historically low gilt yields means that maximum income is around 30% lower now, compared to March 2011 (for a male aged 65).
September 20th, 2011
Following confirmation in the Finance Act the Lifetime Allowance is due to reduce from Â£1.8m to Â£1.5m for any benefit crystallisations after 6th April 2012. It is however possible to apply for protection to maintain the lifetime allowance at Â£1.8m and HMRC have now made the application forms available at http://www.hmrc.gov.uk/pensionschemes/apss227.pdf
August 14th, 2011
A subtle change in the self assessment tax penalty regime may have expensive consequences for Small Self Administered Pension Schemes.
April 9th, 2011
After the announcement last year the following key changes to Finance Bill for 2011 are listed.
January 28th, 2011
Newcastle Building Society has changed the interest rate on the 30 Day Notice Deposit Account from 1.50% to 1.00% with effect from 18 November 2010.
November 22nd, 2010
The new coalition Government has now clarified its proposals for the abolition of compulsory annuitisation announced in their first emergency budget, consultation is underway with the intention that the changes will be introduced from 6 April 2011.
July 29th, 2010
The Special Annual Allowance Charge introduced by Finance Act 2009 has been amended by the recent pre-budget report.
December 10th, 2009
The government has announced its intention that from 6 April 2011 tax relief on pension contributions paid by or on behalf of individuals with an annual income of Â£150,000 or more will be restricted.
October 29th, 2009
All registered pension schemes must adopt a minimum pension age of 55 into their rules by 6 April 2010.
April 23rd, 2009
Following the Newcastle Building Societies recent downgrading they have issued the following information:…
April 15th, 2009