16(1)For the purposes of this Part a lump sum death benefit is an annuity protection lump sum death benefit if—U.K.
(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b)it is paid in respect of a money purchase arrangement, and
(c)it is paid in respect of a scheme pension or lifetime annuity to which the member was entitled at the date of the member’s death.
(2)But if the amount of a lump sum falling within sub-paragraph (1) exceeds the annuity protection limit, the excess is not an annuity protection lump sum death benefit.
(3)The annuity protection limit is—
where—
[AC is—
(a)
where the lump sum is paid in respect of a scheme pension, the scheme pension purchase price, as determined under paragraph 2D(3) and (4);
(b)
where the lump sum is paid in respect of a lifetime annuity, the annuity purchase price, as determined under paragraph 2B(3) and (4);]
AP is the amount of the pension paid in respect of the period between the member becoming entitled to the pension or annuity and the member’s death, and
TPLS is the total amount of annuity protection lump sum death benefit previously paid in respect of the pension or annuity under this paragraph.
Textual Amendments
Modifications etc. (not altering text)