Treasury confirms pensions tax relief legislation

Documents released by the Treasury today as part of the Finance Bill 2011 confirmed the reduced annual allowance will come into effect for the tax year 2011-12 and subsequent tax years. Meanwhile, the reduced lifetime allowance will be effective on and after 6 April 2012. The government said its objective is a system of pensions tax relief that is fair, affordable and sustainable and an integral part of its deficit reduction plans. Reductions in the AA and LTA are expected to save government £4bn in revenue. The document also reinforced that the AA charge will be linked to the individ...