For clients moving or living abroad, UK pension benefits can be neatly transferred to a tax neutral QROPS in a well regulated jurisdiction, such as Guernsey, although QROPS may not be suitable if the client intends to return to the UK at some point in the future.
QROPS have a range of benefits Simplification of your personal tax position. Having been absent from the UK for five tax years or more the member should no longer be subject to UK tax on pension payments thus reducing the paperwork related to HMRC reporting requirements. Choice of currency for investments and subsequent income drawdown. On completion of the transfer members are no longer subject to the UK Lifetime Allowance Charge. Increased investment flexibility – a wide range of investments can be used, including cash, bonds, equities, investment funds, hedge funds, life ins...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
