zn

a payment—

i

to which section 595 of the Income and Corporation Taxes Act 1988 (charge to tax in respect of certain sums paid by an employer pursuant to a retirement benefits scheme)26 does not apply by virtue of section 596(1) or (2)(b)27 of that Act,

ii

to a pilots' benefit fund under section 607 of the Income and Corporation Taxes Act 1988 (pilots' benefit fund)28,

iii

to which section 608 of the Income and Corporation Taxes Act 1988 (superannuation funds approved before 6th April 1980) applies,

iv

by way of any benefit pursuant to a scheme or fund falling within heads (i), (ii) or (iii) of this sub-paragraph;

zo

a payment by way of relevant benefits pursuant to a retirement benefits scheme which has not been approved by the Board of Inland Revenue for the purposes of Chapter I of Part XIV of the Income and Corporation Taxes Act 1988 (retirement benefit schemes) and attributable to payments prior to 6th April 1998; for the purposes of this sub-paragraph “relevant benefits” has the meaning assigned to it in section 612 of the Income and Corporation Taxes Act 1988;

zp

a payment by way of any benefit pursuant to a retirement benefits scheme which has not been approved by the Board of Inland Revenue for the purposes of Chapter I of Part XIV of the Income and Corporation Taxes Act 1988 and attributable to payments on or after 6th April 1998 which have previously been included in a person’s earnings for the purposes of his assessment of earnings-related contributions;

zq

a payment made in respect of a scheme which is bona fide established for the sole purpose of providing relevant benefits, where at the time of the payment—

i

an application for approval of the scheme has been made to the Board of Inland Revenue in accordance with section 604 of the Income and Corporation Taxes Act 1988 (application for approval of a scheme)29,

ii

that application has not been rejected,

iii

the payment represents contributions in respect of an employed earner’s earnings not in excess of the permitted maximum in force at the time it is made,

iv

the terms of the scheme do not permit any pension payable under it, in whole or in part, to be surrendered, commuted or assigned except in so far as to allow an employed earner on retirement to obtain, by commutation of his pension, a lump sum or sums not exceeding in all three-eightieths of his final remuneration for each year of his service up to a maximum of 40,

v

where the scheme is connected with another scheme or schemes each of which is an approved scheme, the amount payable by way of pension or commuted pension under the scheme will not, when aggregated with any amount payable by way of pension or commuted pension under the other scheme or schemes, exceed the relevant amount, and

vi

in the case of a small self-administered scheme, the provisions of regulation 9 of the Retirement Benefits Schemes (Restriction on Discretion to Approve) (Small Self-administered Schemes) Regulations 1991 (provisions as to pensioner trustees)30 have been satisfied,

but this sub-paragraph shall not apply to a small self-administered scheme to which the provisions of regulation 3 of the Retirement Benefits Schemes (Restriction on Discretion to Approve) (Small Self-administered Schemes) Regulations 1991 (restrictions on the Board’s discretion) apply;

zr

a payment to a pension scheme which is afforded relief from taxation by virtue of—

i

Article 25(8) of the Convention set out in the Schedule to the Double Taxation Relief (Taxes on Income) (France) Order 196831,

ii

Article 17A of the Convention set out in the Schedule to the Double Taxation Relief (Taxes on Income) (Republic of Ireland) Order 1976 (pension scheme contributions)32; for the purposes of this head that Article shall be read as if the words “or is being considered for approval” were omitted,

iii

Article 28(3) of the Convention set out in the Schedule to the Double Taxation Relief (Taxes on Income) (Denmark) Order 1980 (miscellaneous rules)33.

12

For the purposes of paragraph (1)(zq) of this regulation—

a

“relevant benefits” has the meaning assigned to it in section 612 of the Income and Corporation Taxes Act 1988;

b

“permitted maximum” shall be the amount for the time being specified in an order made under section 590C(6) of the Income and Corporation Taxes Act 1988 (earnings cap)35;

c

whether or not a scheme is connected with another scheme or schemes shall be determined in accordance with the provisions of section 590A(2) to (4) of the Income and Corporation Taxes Act 1988 (section 590: supplementary provisions)36;

d

“relevant amount”, in the case of a pension which is not a commuted pension, shall be determined in accordance with the provisions of section 590B(3) and (7) to (11) of the Income and Corporation Taxes Act 1988 (section 590: further supplementary provisions)37 and, in the case of a pension which is a commuted pension, the provisions of section 590B(4) and (7) to (11) of that Act;

e

“small self-administered scheme” has the meaning assigned to it in regulation 2(1) of the Retirement Benefits Schemes (Restriction on Discretion to Approve) (Small Self-administered Schemes) Regulations 1991.