The Registered Pension Schemes (Enhanced Lifetime Allowance) Regulations 2006

Reliance on provisions of the Finance Act 2004

Reliance on paragraph 7 of Schedule 36 (lifetime allowance enhancement: “primary protection”)

3.—(1) This regulation applies if the amount of the relevant pre-commencement pension rights of an individual (determined in accordance with paragraph 7(5) of Schedule 36) exceeds £1,500,000.

(2) The individual may give notice of intention to rely on paragraph 7 of Schedule 36 (“paragraph 7”).

(3) If the individual intends to rely on paragraph 7, the individual must give a notification to the Revenue and Customs on or before the closing date.

(4) For the purposes of this regulation the closing date is 5th April 2009.

(5) Paragraph (6) applies if—

(a) the individual gives the notification to the Revenue and Customs, and

(b) the Revenue and Customs issue a certificate to the individual in response to the giving of the notification.

(6) The individual may rely on paragraph 7 during the period beginning on 6th April 2006 and ending on the day on which the Revenue and Customs—

(a) revoke the certificate, or

(b) issue an amended certificate to the individual.

(7) Paragraph (8) applies if the Revenue and Customs—

(a) issue a certificate to which paragraph (6) applies to the individual, and

(b) later issue an amended certificate (“the subsequent certificate”) to the individual.

(8) The individual may rely on paragraph 7 during the period beginning on the day specified on the subsequent certificate and ending on the day on which the Revenue and Customs—

(a) revoke the subsequent certificate, or

(b) issue an amended certificate to the individual.

(9) The day so specified must not be earlier than 6th April 2006.

Reliance on paragraph 12 of Schedule 36 (lifetime allowances: “enhanced protection”)

4.—(1) This regulation applies in the case of an individual to whom paragraph 12(1) of Schedule 36 has applied at all times on and after 6th April 2006.

(2) The individual may give notice of intention to rely on paragraph 12 of Schedule 36 (“paragraph 12”)(1).

(3) If the individual intends to rely on paragraph 12, the individual must give a notification to the Revenue and Customs on or before the closing date.

(4) For the purposes of this regulation the closing date is 5th April 2009.

(5) Paragraph (6) applies if—

(a) the individual gives the notification to the Revenue and Customs, and

(b) the Revenue and Customs issue a certificate to the individual in response to the giving of the notification.

(6) The individual may rely on paragraph 12 during the period beginning on 6th April 2006 and ending on the day on which the Revenue and Customs—

(a) revoke the certificate,

(b) issue an amended certificate to the individual, or

(c) receive notice, given by the individual, that the individual no longer wishes to rely on paragraph 12.

(7) Paragraph (8) applies if the Revenue and Customs—

(a) issue a certificate to which paragraph (6) applies to the individual, and

(b) later issue an amended certificate (“the subsequent certificate”) to the individual.

(8) The individual may rely on paragraph 12 during the period beginning on the day specified on the subsequent certificate and ending on the day on which the Revenue and Customs—

(a) revoke the subsequent certificate,

(b) issue an amended certificate to the individual, or

(c) receive notice, given by the individual, that the individual no longer wishes to rely on paragraph 12.

(9) The day so specified must not be earlier than 6th April 2006.

Reliance on paragraph 18 of Schedule 36 (lifetime allowance enhancement: pre-commencement pension credits)

5.—(1) This regulation applies if a benefit crystallisation event occurs in relation to an individual in the circumstances specified in paragraph 18(1) of Schedule 36.

(2) The individual may give notice of intention to rely on paragraph 18 of Schedule 36 (“paragraph 18”).

(3) If the individual intends to rely on paragraph 18, the individual must give a notification to the Revenue and Customs on or before the closing date.

(4) For the purposes of this regulation the closing date is 5th April 2009.

(5) Paragraph (6) applies if—

(a) the individual gives the notification to the Revenue and Customs, and

(b) the Revenue and Customs issue a certificate to the individual in response to the giving of the notification.

(6) The individual may rely on paragraph 18 during the period beginning on 6th April 2006 and ending on the day on which the Revenue and Customs—

(a) revoke the certificate, or

(b) issue an amended certificate to the individual.

(7) Paragraph (8) applies if the Revenue and Customs—

(a) issue a certificate to which paragraph (6) applies to the individual, and

(b) later issue an amended certificate (“the subsequent certificate”) to the individual.

(8) The individual may rely on paragraph 18 during the period beginning on the day specified on the subsequent certificate and ending on the day on which the Revenue and Customs—

(a) revoke the subsequent certificate, or

(b) issue an amended certificate to the individual.

(9) The day so specified must not be earlier than 6th April 2006.

Reliance on section 220 (lifetime allowance enhancement: registration of pension credits)

6.—(1) This regulation applies if an individual acquires rights under a registered pension scheme in the circumstances specified in section 220(1).

(2) The individual may give notice of intention to rely on section 220(2).

(3) If the individual intends to rely on section 220, the individual must give a notification to the Revenue and Customs on or before the closing date.

(4) For the purposes of this regulation use the rules in this paragraph to find the closing date.

• First rule: Find the 31st January following the tax year in which the pension sharing order or provision takes effect.

• Second rule: Find the 31st January five years after that.

• The date so found is the closing date.

(5) Paragraph (6) applies if—

(a) the individual gives the notification to the Revenue and Customs, and

(b) the Revenue and Customs issue a certificate to the individual in response to the giving of the notification.

(6) The individual may rely on section 220 during the period beginning on the day on which the pension sharing order or provision takes effect and ending on the day on which the Revenue and Customs—

(a) revoke the certificate, or

(b) issue an amended certificate to the individual.

(7) Paragraph (8) applies if the Revenue and Customs—

(a) issue a certificate to which paragraph (6) applies to the individual, and

(b) later issue an amended certificate (“the subsequent certificate”) to the individual.

(8) The individual may rely on section 220 during the period beginning on the day specified on the subsequent certificate and ending on the day on which the Revenue and Customs—

(a) revoke the subsequent certificate, or

(b) issue an amended certificate to the individual.

Reliance on section 221 (lifetime allowance enhancement: relevant overseas individuals)

7.—(1) This regulation applies if, at any time on or after 6th April 2006, an individual is a relevant overseas individual during any part of a period that is the active membership period in relation to an arrangement relating to the individual.

(2) The individual may give notice of intention to rely on section 221.

(3) If the individual intends to rely on section 221, the individual must give a notification to the Revenue and Customs on or before the closing date.

(4) For the purposes of this regulation use the rules in this paragraph to find the closing date.

• First rule: Find the 31st January following the tax year in which the accrual period ends (see paragraph (10)).

• Second rule: Find the 31st January five years after that.

• The date so found is the closing date.

(5) Paragraph (6) applies if—

(a) the individual gives the notification to the Revenue and Customs, and

(b) the Revenue and Customs issue a certificate to the individual in response to the giving of the notification.

(6) The individual may rely on section 221 during the period beginning on the accrual day (see paragraph (10)) and ending on the day on which the Revenue and Customs—

(a) revoke the certificate, or

(b) issue an amended certificate to the individual.

(7) Paragraph (8) applies if the Revenue and Customs—

(a) issue a certificate to which paragraph (6) applies to the individual, and

(b) later issue an amended certificate (“the subsequent certificate”) to the individual.

(8) The individual may rely on section 221 during the period beginning on the day specified on the subsequent certificate and ending on the day on which the Revenue and Customs—

(a) revoke the subsequent certificate, or

(b) issue an amended certificate to the individual.

(9) The day so specified must not be earlier than the accrual day.

(10) For the purposes of this regulation—

(a) the accrual period ends—

(i) when the individual ceases to be a relevant overseas individual,

(ii) immediately before a benefit crystallisation event occurring in relation to the arrangement relating to the individual, or

(iii) when benefits cease to accrue to or in respect of the individual under the arrangement,

whichever is the earliest; and

(b) “the accrual day” is the day on which the accrual period ends.

Reliance on section 224 (lifetime allowance enhancement: transfer from recognised overseas pension scheme)

8.—(1) This regulation applies if, in relation to an individual, there is a recognised overseas scheme transfer in the circumstances specified in section 224(1).

(2) The individual may give notice of intention to rely on section 224.

(3) If the individual intends to rely on section 224, the individual must give a notification to the Revenue and Customs on or before the closing date.

(4) For the purposes of this regulation use the rules in this paragraph to find the closing date.

• First rule: Find the 31st January following the tax year in which the recognised overseas scheme transfer takes place.

• Second rule: Find the 31st January five years after that.

• The date so found is the closing date.

(5) Paragraph (6) applies if—

(a) the individual gives the notification to the Revenue and Customs, and

(b) the Revenue and Customs issue a certificate to the individual in response to the giving of the notification.

(6) The individual may rely on section 224 during the period beginning on the day on which the recognised overseas scheme transfer takes place and ending on the day on which the Revenue and Customs—

(a) revoke the certificate, or

(b) issue an amended certificate to the individual.

(7) Paragraph (8) applies if the Revenue and Customs—

(a) issue a certificate to which paragraph (6) applies to the individual, and

(b) later issue an amended certificate (“the subsequent certificate”) to the individual.

(8) The individual may rely on section 224 during the period beginning on the day specified on the subsequent certificate and ending on the day on which the Revenue and Customs—

(a) revoke the subsequent certificate, or

(b) issue an amended certificate to the individual.

(1)

Paragraph 12 was amended by sub-paragraphs (3) to (6) of paragraph 53 of Schedule 10 to the Finance Act 2005 with effect from 6th April 2006.

(2)

Section 220 was amended by paragraph 45 of Schedule 10 to the Finance Act 2005 with effect from 6th April 2006.