SCHEDULES

SCHEDULE 3 Overseas pensions

Part 3 Lump sums for UK residents from foreign pension schemes

Employer-financed retirement benefit schemes: ending of foreign-service relief

5 (1) Section 395B (exemption or reduction for foreign service) is amended as follows.

(2) In subsection (1) (conditions for entitlement to exemption or reduction), after paragraph (c) insert—

“(ca) the recipient is not resident in the United Kingdom in the tax year in which the lump sum is received,”.

(3) In subsection (8) (meaning of “foreign service”), for “413(2)” substitute “395C”.

(4) The amendments made by this paragraph have effect for the tax year 2017-18 and subsequent tax years.