Conversion of part of pensionN.I.
3.—(1) Subject to sub-paragraphs (2) and (3), an application under regulation 76 must—
(a)be in writing in such form as the scheme manager may require;
(b)be made—
(i)when the member applies under paragraph 4 of Schedule 3 for payment of the pension; or
(ii)before such later time as the scheme manager specifies in writing; and
(c)specify—
(i)the amount of the lump sum which the member wishes to receive (which must be a multiple of £12); or
(ii)the conversion amount (which must be a whole number of pounds and a multiple of 12).
neither of which must exceed the member's permitted maximum.
(2) If the pension is an ill-health pension under regulation 89 an application under regulation 76 must be made—
(a)at the time of claiming that ill-health pension; or
(b)before such later time as the scheme manager specifies in writing.
(3) If the pension is an ill-health pension at Tier 2 paid in substitution for an ill-health pension at Tier 1 by virtue of regulation 92(5) an application under regulation 76—
(a)may only be made in relation to the difference between those pensions; and
(b)must be made—
(i)at the time the member become aware of the determination under regulation 92(5); or
(ii)before such later time as the scheme manager specifies in writing.
(4) A member must not exchange pension for a lump sum under regulation 76 to the extent that it would result in a scheme chargeable payment for the purposes of Part 4 (pension schemes etc) of the 2004 Act (see section 241 of that Act) M1.
Marginal Citations
M1Section 241 has been amended by section 158(1) of, and paragraphs 2 and 9 of Schedule 21 to, the Finance Act 2005 (c.25); section 69 of, and paragraphs 1 and 15 of Schedule 19 to, the Finance Act 2007 (c.11) and section 65 of, and paragraphs 62 and 74 of Schedule 16 to, the Finance Act 2011 (c.11)