(1)F1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1A)F1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2)[F2An interest] in or under a [F3registered pension scheme [F4, a qualifying non-UK pension scheme or a section] 615(3) scheme] which comes to an end on the death of the person entitled to it shall be left out of account in determining for the purposes of this Act the value of his estate immediately before his death, if the interest—
(a)is, or is a right to, a pension or annuity, and
(b)is not an interest resulting (whether by virtue of the instrument establishing the [F5scheme] or otherwise) from the application of any benefit provided under the [F5scheme] otherwise than by way of a pension or annuity.
(3)Sections 49 to 53 above shall not apply in relation to an interest satisfying the conditions of paragraphs (a) and (b) of subsection (2) above.
(4)In relation to an interest in or under a [F3registered pension scheme [F4, a qualifying non-UK pension scheme or a section] 615(3) scheme], section 5(2) above shall apply as if the words “other than settled property” were omitted (in both places).
(5)Where a benefit has become payable under a [F3registered pension scheme [F4, a qualifying non-UK pension scheme or a section] 615(3) scheme], and the benefit becomes comprised in a settlement made by a person other than the person entitled to the benefit, the settlement shall for the purposes of this Act be treated as made by the person so entitled.
Textual Amendments
F1S. 151(1)(1A) repealed (6.4.2006) by Finance Act 2004 (c. 12), ss. 203(4)(a), 284, 326, Sch. 42 Pt. 3 (with Sch. 36)
F2Words in s. 151(2) substituted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 51
F3Words in s. 151(2)(4)(5) substituted (6.4.2006) by Finance Act 2004 (c. 12), ss. 203(4)(b), 284 (with Sch. 36)
F4Words in s. 151(2)(4)(5) substituted (retrospective to 6.4.2006) by Finance Act 2008 (c. 9), s. 92, Sch. 29 para. 18(4)(8)
F5Word in s. 151(2)(b) substituted (6.4.2006) by Finance Act 2004 (c. 12), ss. 203(4)(c), 284 (with Sch. 36)
Modifications etc. (not altering text)
C1S. 151 applied (6.4.2006) by The Pension Protection Fund (Tax) Regulations 2006 (S.I. 2006/575), reg. 34
F7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F6Ss. 151A-151C inserted (6.4.2006) by Finance Act 2006 (c. 25), s. 160, Sch. 22 para. 4
F7S. 151A omitted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 48(a)
F8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F6Ss. 151A-151C inserted (6.4.2006) by Finance Act 2006 (c. 25), s. 160, Sch. 22 para. 4
F8S. 151B omitted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 48(b)
F10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F6Ss. 151A-151C inserted (6.4.2006) by Finance Act 2006 (c. 25), s. 160, Sch. 22 para. 4
F9S. 151BA inserted (with effect as mentioned in Sch. 19 para. 29(8) of the amending Act) by Finance Act 2007 (c. 11), s. 69, Sch. 19 para. 22
F10S. 151BA omitted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 48(c)
F11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F6Ss. 151A-151C inserted (6.4.2006) by Finance Act 2006 (c. 25), s. 160, Sch. 22 para. 4
F11S. 151C omitted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 48(d)
F13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F12Ss. 151D, 151E inserted (with effect as mentioned in Sch. 28 para. 15(3) of the amending Act) by Finance Act 2008 (c. 9), s. 91, Sch. 28 para. 10
F13S. 151D omitted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 48(e)
F14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F12Ss. 151D, 151E inserted (with effect as mentioned in Sch. 28 para. 15(3) of the amending Act) by Finance Act 2008 (c. 9), s. 91, Sch. 28 para. 10
F14S. 151E omitted (with effect as mentioned in Sch. 16 paras. 85, 106 of the amending Act) by virtue of Finance Act 2011 (c. 11), s. 65, Sch. 16 para. 48(f)
[F15Where on a person’s death an annuity becomes payable under a registered pension scheme [F16, a qualifying non-UK pension scheme or a section] 615(3) scheme to a widow, widower [F17, dependant or nominee] of that person and under the terms of the scheme] a sum of money might at his option have become payable instead to his personal representatives, he shall not, by virtue of section 5(2) above, be treated as having been beneficially entitled to that sum.
Textual Amendments
F15Words in s. 152 substituted (6.4.2006) by Finance Act 2004 (c. 12), ss. 203(5), 284 (with Sch. 36)
F16Words in s. 152 substituted (retrospective to 6.4.2006) by Finance Act 2008 (c. 9), s. 92, Sch. 29 para. 18(5)(8)
F17Words in s. 152 substituted (retrospective to 6.4.2015 and with effect in accordance with Sch. 5 para. 11(2)(b) of the amending Act) by Finance Act 2016 (c. 24), Sch. 5 para. 11(1)(2)(a)
(1)In determining for the purposes of this Act the value of a person’s estate immediately before his death there shall be left out of account any pension payable under the regulations or rules relating to any fund vested in Commissioners under section 273 of the M1Government of India Act 1935 or to any fund administered under a scheme made under section 2 of the M2Overseas Pensions Act 1973 which is certified by the Secretary of State for the purpose of this section to correspond to an Order in Council under subsection (1) of the said section 273.
(2)For the purposes of this Act—
(a)a pension paid under the authority of a scheme made under section 2 of the Overseas Pensions Act 1973 which is constituted by the M3Pensions (India, Pakistan and Burma) Act 1955 or is certified by the Secretary of State for the purposes of this section to correspond to the said Act of 1955 shall be treated as if it had been paid by the Government of India or the Government of Pakistan (according as the arrangements in pursuance of which the pension was first paid under the said Act of 1955 were made with the one or the other Government);
(b)a pension paid out of any fund established in the United Kingdom by the Government of any country which, at the time when the fund was established, was, or formed part of, a colony, protectorate, protected state or United Kingdom trust territory shall, if the fund was established for the sole purpose of providing pensions, whether contributory or not, payable in respect of service under the Government be treated as if it had been paid by the Government by which the fund was established;
(c)a pension paid out of the Central African Pension Fund established by section 24 of the M4Federation of Rhodesia and Nyasaland (Dissolution) Order in Council 1963 shall be treated as if it had been paid by the Government of a territory outside the United Kingdom; and
(d)so much of any pension paid to or in respect of any person under—
(i)the scheme which by virtue of subsection (3) of section 2 of the Overseas Pensions Act 1973 is constituted under that section by section 2 or subsection (2) of section 4 of the M5Overseas Service Act 1958, or
(ii)such other scheme made under section 2 of the Overseas Pensions Act 1973 as is certified by the Secretary of State for the purposes of the Taxes Act to correspond to section 2 or subsection (2) of section 4 of the Overseas Service Act 1958,
as is certified by the Secretary of State to be attributable to service under the Government of an overseas territory shall be treated as if it had been paid by the Government of that territory.
(3)Subsection (1) above shall be construed as if contained in section 273 of the M6Government of India Act 1935; and for the purposes of subsection (2) above—
(a)“pension” includes a gratuity and any sum payable on or in respect of death, and a return of contributions with or without interest thereon or any other addition thereto;
(b)“United Kingdom trust territory” means a territory administered by the Government of the United Kingdom under the trusteeship system of the United Nations;
(c)“overseas territory” means any country or territory outside the United Kingdom;
(d)references to the Government of any such country or territory as is mentioned in paragraph (b) or (d) of that subsection include a Government constituted for two or more such countries or territories and any authority established for the purpose of providing or administering services which are common to, or relate to matters of common interest to, two or more such countries or territories.
(4)If, by reason of Her Majesty’s Government in the United Kingdom having assumed responsibility for a pension, allowance or gratuity within the meaning of section 1 of the M7Overseas Pensions Act 1973, payments in respect of it are made under that section, this section shall apply in relation to the pension, allowance or gratuity, exclusive of so much (if any) of it as is paid by virtue of the application to it of any provisions of the M8Pensions (Increase) Act 1971 or any enactment repealed by that Act, as if it continued to be paid by the Government or other body or fund which had responsibility for it before that responsibility was assumed by Her Majesty’s Government in the United Kingdom.
Marginal Citations