PART 3N.I.Provision where an immediate detriment remedy has been obtained

CHAPTER 8N.I.Compensation for voluntary payments where an immediate detriment remedy has been obtained

Compensation for [F1purported] special payments to buy out early payment reductionN.I.

23.—(1) This regulation applies where P has, during the period of remediable service, made any [F1purported] special paymentsF2....

(2) [F3For the avoidance of doubt, any rights] that would otherwise have been secured by the [F1purported] special payments [F4had P been entitled to make them] are extinguished.

(3) The scheme manager must pay to the appropriate person an amount by way of compensation equal to—

(a)the aggregate of the [F1purported]special payments made by P, less

(b)an amount determined by the scheme manager in respect of the value of the tax relief under section 188 of FA 2004 (member contributions) to which P [F5would have been] entitled in respect of those payments [F6had P been entitled to make them] .

(4) Where determining the tax relief amount under paragraph (3)(b), the scheme manager may adopt an approach which is reasonable in all the circumstances to approximate those amounts.

(5) The following provisions of the PSP Directions 2023 apply in relation to a determination under paragraph (3)(b) as they apply in relation to a determination under direction 23(2)—

(a)direction 23(4) (provision of explanation);

(b)direction 23(5) and (6) (appeals).

Textual Amendments

Commencement Information

I1Reg. 23 in operation at 24.7.2023, see reg. 1(b)

Compensation for payments for [F7purported] added pensionN.I.

24.—(1) This regulation applies where—

(a)P has, during the period of remediable service, made any [F7purported] added pension paymentsF8..., and

(b)regulation 129(1)(b) of the 2015 Regulations does not apply in respect of those payments.

(2) Where the appropriate person makes a request for compensation in respect of the [F7purported]added pension payments—

(a)[F9for the avoidance of doubt, any rights] that would otherwise have been secured by the[F7purported] added pension payments [F10, had P been entitled to make them,] are extinguished, and

(b)the scheme manager must pay to the appropriate person an amount by way of compensation equal to—

(i)the aggregate of the [F7purported]added pension payments paid by P, less

(ii)an amount determined by the scheme manager in respect of the value of the tax relief under section 188 of FA 2004 (member contributions) to which P [F11would have been] entitled in respect of those payments [F12had P been entitled to make them] .

(3) Where determining the tax relief amount under paragraph (2)(b), the scheme manager may adopt an approach which is reasonable in all the circumstances to approximate those amounts.

(4) The following provisions of the PSP Directions 2023 apply in relation to a determination under paragraph (2)(b) of this regulation as they apply in relation to a determination under direction 23(2)—

(a)direction 23(4) (provision of explanation);

(b)direction 23(5) and (6) (appeals).

(5) A request under paragraph (2) is irrevocable and must be—

(a)made by notice to the scheme manager,

(b)in a form required by the scheme manager, and

(c)received by the scheme manager before the end of the notification period.

Textual Amendments

Commencement Information

I2Reg. 24 in operation at 24.7.2023, see reg. 1(b)

Compensation for [F13purported] effective pension age paymentsN.I.

25.—(1) This regulation applies where P has, during the period of remediable service, made any [F13purported] effective pension age payments F14....

(2) [F15For the avoidance of doubt, any rights] that would otherwise have been secured by the [F13purported] effective pension age payments [F16, had P been entitled to make them,] are extinguished.

(3) The scheme manager must pay to the appropriate person an amount by way of compensation equal to—

(a)the aggregate of the [F13purported] effective pension age payments made by P, less

(b)an amount determined by the scheme manager in respect of the value of the tax relief under section 188 of FA 2004 (member contributions) to which P [F17would have been] entitled in respect of those payments [F18had P been entitled to make them] .

(4) Where determining the tax relief amount under paragraph (3)(b), the scheme manager may adopt an approach which is reasonable in all the circumstances to approximate those amounts.

(5) The following provisions of the PSP Directions 2023 apply in relation to a determination under paragraph (3)(b) as they apply in relation to a determination under direction 23(2)—

(a)direction 23(4) (provision of explanation);

(b)direction 23(5) and (6) (appeals).

Textual Amendments

Commencement Information

I3Reg. 25 in operation at 24.7.2023, see reg. 1(b)