PART 1INTRODUCTION
Citation, commencement and effect1
1
These Regulations may be cited as the Registered Pension Schemes (Authorised Payments) Regulations 2009 and shall come into force on 1st June 2009.
2
These Regulations shall have effect—
a
for payments of a description within Part 2, in relation to payments made on or after 1st December 2009; and
b
for payments of a description within Part 3 or Part 4, in relation to payments made on or after 6th April 20063.
Interpretation2
1
Any reference in these Regulations to a numbered section or a paragraph of a Schedule, without more, is a reference to the section or paragraph of the Finance Act 2004 bearing that number.
2
Any reference in these Regulations to a person’s being entitled to a payment—
a
if it is a payment of pension (or intended to be such a payment), shall be construed in accordance with section 165(3) (pension rules)4, and related expressions shall be construed accordingly;
b
if it is a payment of a lump sum (or intended to be such a payment), shall be construed in accordance with section 166(2) (lump sum rule)5, and related expressions shall be construed accordingly.
3
For the purpose of these Regulations, whether a person is connected with another person is determined in accordance with section 993 of the ITA 2007 (meaning of “connected” persons)6.
4
For the purpose of these Regulations,
a
a pension scheme is related to another pension scheme if each of them is—
i
ii
a pension scheme relating to the same employment; but
b
if the context is whether a person is or is not a controlling director of a sponsoring employer10 of a pension scheme, only registered pension schemes that are occupational pension schemes are related to other such pension schemes.
5
In these Regulations—
“controlling director” has the meaning given by section 273(9) (members liable as scheme administrator);
“excluded transfer” means—
- a
a recognised transfer11; or
- b
any other transfer to the pension scheme of any sums or assets held for the purposes of, or representing accrued rights under, another pension scheme.
- a
Prescribed payments and taxation
3
A payment by a registered pension scheme to or in respect of a member that is described in Part 2 of these Regulations—
a
is a payment of a prescribed description for the purposes of section 164(1)(f) (authorised member payments);
b
if paid to the member, shall be treated as a trivial commutation lump sum paid to the member for the purposes of Part 9 of ITEPA 2003 (pension income)12; and
c
if not paid to the member, shall be treated as a trivial commutation lump sum death benefit paid to the recipient for the purposes of Part 9 of ITEPA 200313.
4
A payment by a registered pension scheme that is described in Part 3 of these Regulations, to the extent specified in the regulation concerned—
a
is a payment of a prescribed description for the purposes of section 164(1)(f) of the Finance Act 2004;
b
shall be treated as pension paid to the recipient under a registered pension scheme for the purposes of Part 9 of ITEPA 2003; and
c
shall be treated for those purposes as pension accruing in the tax year in which it is paid.
5
A payment by a registered pension scheme that is described in Part 4 of these Regulations—
a
is a payment of a prescribed description for the purposes of section 164(1)(f) of the Finance Act 2004; and
b
shall be treated as a pension commencement lump sum paid under a registered pension scheme for the purposes of Part 9 of ITEPA 200314.