SCHEDULES
SCHEDULE 29Further provision about pension schemes
18Inheritance tax treatment of non-UK pension schemes
1
IHTA 1984 is amended as follows.
2
In section 12(2) (dispositions conferring benefits under pension scheme), for “or” substitute “, a qualifying non-UK pension scheme or a”.
3
In section 58 (meaning of relevant property)—
a
in subsection (1)(d), for “or” substitute “, a qualifying non-UK pension scheme or a”, and
b
in subsection (2A)(b), after “member of” insert “a qualifying non-UK pension scheme or”.
4
In section 151(2), (4) and (5) (treatment of pension rights etc), for “or section” substitute “, a qualifying non-UK pension scheme or a section”.
5
In section 152 (cash options), for “or section” substitute “, a qualifying non-UK pension scheme or a section”.
6
After section 271 insert—
271AQualifying non-UK pension scheme
1
For the purposes of this Act “qualifying non-UK pension scheme” means a pension scheme (other than a registered pension scheme) which—
a
is established in a country or territory outside the United Kingdom, and
b
satisfies any requirements prescribed for the purposes of this section by regulations made by the Commissioners for Her Majesty’s Revenue and Customs.
2
“Pension scheme” has the same meaning as in Part 4 of the Finance Act 2004 (see section 150 of that Act).
3
Regulations under this section may include provision having effect in relation to times before the regulations are made if it does not increase any person’s liability to tax.
4
The power to make regulations under this section is exercisable by statutory instrument, which is subject to annulment in pursuance of a resolution of the House of Commons.
7
In paragraph 56 of Schedule 36 to FA 2004 (pension schemes: transitional provision in relation to inheritance tax)—
a
in sub-paragraph (1)(a), after “registered pension scheme” insert “, a qualifying non-UK pension scheme”, and
b
after sub-paragraph (3) insert—
4
In this paragraph “qualifying non-UK pension scheme” has the same meaning as in the Inheritance Tax Act 1984 (see section 271A of that Act).
8
The amendments made by this paragraph are treated as having come into force on 6 April 2006.