SCHEDULES

SCHEDULE 29 U.K. Registered pension schemes: authorised lump sums—supplementary

Part 2 U.K. Lump sum death benefit rule

Defined benefits and money purchase arrangements U.K.

Trivial commutation lump sum death benefit U.K.

20 (1) A lump sum death benefit is a trivial commutation lump sum death benefit if— U.K.

(a) the member had not reached the age of 75 at the date of the member’s death,

(b) it is paid to a dependant entitled under the pension scheme to pension death benefit in respect of the member,

(c) it is paid before the day on which the member would have reached the age of 75, and

(d) it extinguishes the dependant’s entitlement under the pension scheme to pension death benefit and lump sum death benefit in respect of the member.

(2) But if the amount of a lump sum falling within sub-paragraph (1) exceeds 1% of the standard lifetime allowance on the date the lump sum is paid, the excess is not a trivial commutation lump sum death benefit.