Modification of section 222
13.—(1) In subsection 222(4) (non residence: money purchase arrangements) after “OV is” for the words “the opening value of the individual’s rights under the arrangement” substitute “calculated in accordance with subsection (4A).”.
(2) After subsection (4) add subsection (4A)—
“(4A) For the purposes of subsection (4)—
Here—
OVA is the value of the individual’s rights under the arrangement on 5th April 2006 calculated in accordance with subsection (5)(b).
SLA is the standard lifetime allowance at the time when the part of the active membership period referred to in subsection (4) ended and
CSLA is £1,500,000 (the lifetime allowance for the tax year 2006-07).”.
(3) For subsection (5)(b) substitute—
“(b)the value of the individual’s rights under the arrangement on 5th April 2006 is the amount which would, on the valuation assumptions, be available for the provision of benefits to or in respect of the individual under the arrangement if the individual became entitled to the benefits on 5th April 2006.”.