Uncrystallised funds lump sum death benefitU.K.
15(1)For the purposes of this Part a lump sum death benefit is an uncrystallised funds 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 in respect of a money purchase arrangement,
(c)it is paid before the end of the period of two years beginning with the day on which the member died, and
(d)it is paid in respect of relevant uncrystallised funds.
(2)“Relevant uncrystallised funds” means such of the sums and assets held for the purposes of the arrangement at the member’s death as—
(a)had not been applied for purchasing a scheme pension, a lifetime annuity, a dependants' scheme pension or a dependants' annuity, and
(b)had not been designated under the arrangement as available for the payment of unsecured pension.
(3)But if an amount falling within sub-paragraph (1) exceeds the permitted maximum, the excess is not an uncrystallised funds lump sum death benefit.
(4)The permitted maximum is the aggregate of—
(a)the amount of the sums, and
(b)the market value of the assets,
which constitute the relevant uncrystallised funds immediately before the payment is made.