The UK HMRC announced new reporting rules for QROPS in the March 2012 budget.

In summary these rules , which came into effect 6th April are:

• At least 70% of the UK tax relieved funds transferred to a QROPS must be used provide an “income for life” at retirement date, which can be  no  earlier than age 55.
• NZ QROPS must report any withdrawals to the HMRC for up to 10 years after the transfer is made.
• The “5 year non UK tax payer” rule will run alongside the new 10 year reporting rule.
• All new members of QROPS must complete an HMRC form APSS263 declaration which includes a sign off that they recognise that any future payment  ”may be treated as an unauthorised payment giving rise to a UK tax liability”

Please call us to discuss how these rules affect your UK pensions. If you have previously transferred a UK pension to NZ and are unsure of what these rules mean to you contact us today.

The Financial Migration Group provides a personalised service to transfer your UK Pension Scheme into an approved scheme in New Zealand. Only schemes that are Qualifying Recognised Overseas Pension Schemes (QROPS) are allowed to receive UK Pensions. (more…)