George Osborne's call for radical thinking on pensions tax relief could solve the problem "once and for all" but there are huge policy issues to overcome, industry experts have said.
Osborne used his Summer Budget speech to announce a green paper asking for industry input on potential changes to tax relief which could bring pensions closer in line with ISAs. He said: "While we've taken important steps with our new single tier pension and generous new ISA, I am open to further radical change. "Pensions could be taxed like ISAs." He suggested people could pay in from taxed income and any withdrawals would be tax-free. It would receive a top-up from the government in-between, added the Chancellor. Further reading: 'ISA pensions' could reduce the deficit by £10b...
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