170. The scheme manager is appointed to be responsible for all functions that are functions conferred or imposed on the scheme administrator by or under Part 4 of the 2004 Act (pension schemes etc).
171.—(1) A member of this scheme may request the scheme manager to pay on the member’s behalf any amount that is payable by way of the lifetime allowance charge under section 214 of the 2004 Act (“the amount”) if—
(a)an event that is a benefit crystallisation event (“the event”) listed in the table in section 216(1) of the 2004 Act(1) occurs in relation to the member; and
(b)the member and the scheme manager are jointly and severally liable in relation to the event.
(2) A request may only be made by notice given to the scheme manager before the event occurs.
(3) The scheme manager may only comply with a request if the member pays the amount to the scheme manager on or before the date on which the event occurs.
172.—(1) This regulation applies if—
(a)an event that is a benefit crystallisation event (“the event”) listed in the table in section 216(1) of the 2004 Act (“the table”) occurs in relation to a member;
(b)the member and the scheme manager are jointly and severally liable in relation to the event; and
(c)no request has been duly made under regulation 171 in relation to the event or, if such a request has been made, the scheme manager is prevented from complying with it by paragraph (3) of that regulation.
(2) If this regulation applies—
(a)the scheme manager must pay the tax payable on the event;
(b)if the event is benefit crystallisation event 8 in the table (transfer to qualifying recognised overseas pension scheme), the amount or value of the sums or assets transferred must be reduced; and
(c)in the case of any other event in the table, the amount or value of the benefits payable to or in respect of the member must be reduced.
(3) The amount or value of the reduction—
(a)must fully reflect the amount of the tax so paid;
(b)must be determined in accordance with guidance provided by the scheme manager; and
(c)in the case of any reduction to pension benefits, must be consistent with normal actuarial practice.
173.—(1) If a member’s pension scheme input amount for this scheme for a tax year exceeds the amount of the annual allowance for that tax year, paragraph (2) applies in respect of the member for that tax year.
[F1(2) The scheme manager must provide the member with any information the scheme manager considers appropriate to assist the member to arrange payment of the annual allowance charge for a tax year—
(a)no later than 6th October after the end of that tax year; or
(b)where regulation 14A(6) (provision of pension savings statement where scheme administrator has not been provided with information about a member) of the Registered Pension Schemes (Provision of Information) Regulations 2006 applies in relation to a member, the date determined in accordance with that regulation.]
(3) In this regulation, “pension scheme input amount” has the meaning given in section 237B(2) (liability of scheme administrator) of the 2004 Act(2).
Textual Amendments
F1Reg. 173(2) substituted (1.4.2022) by The Public Service (Civil Servants and Others) Pensions (Amendment) (No. 2) Regulations (Northern Ireland) 2022 (S.R. 2022/126), regs. 1(2), 4
Commencement Information
174.—(1) This regulation applies where—
(a)a member gives valid notice to the scheme manager of joint and several liability for an annual allowance charge under section 237B(3) of the 2004 Act; and
(b)the scheme manager satisfies the liability specified in the notice.
(2) The amount or value of the benefits payable to or in respect of the member for the tax year to which the notice relates must be reduced by the scheme manager in accordance with paragraph (3).
(3) Subject to paragraph (4), the amount or value of the reduction of benefits—
(a)must fully reflect the amount paid by the scheme manager; and
(b)must be consistent with normal actuarial practice.
(4) Benefits may only be reduced under this regulation to the extent that the reduction would not result in the loss of any part of a guaranteed minimum pension to which a person is entitled under section 10 (earner’s guaranteed minimum) or 13 [F2(minimum pensions for widows, widowers and surviving civil partners)] of the 1993 Act.
Textual Amendments
F2Words in reg. 174(4) substituted (with effect in accordance with of the amending Rule) by The Public Service (Civil Servants and Others) Pensions (Amendment) Regulations (Northern Ireland) 2022 (S.R. 2022/67), regs. 1(2), 55
Commencement Information
Section 216(1) was amended by the Finance Act 2005 (c.7) Schedule 10 paragraphs 1, 31 and 42; the Finance Act 2006 (c.25) Schedule 23 paragraphs 1 and 30; the Finance Act 2008 (c.9) Schedule 29 paragraphs 1, 4 and 5; and the Finance Act 2011 (c.11) Schedule 16 paragraphs 43, 62, 73 and 104
2004 c.12; section 237B was inserted by the Finance Act 2011 (c.11), Schedule 17, paragraph 15 and was amended by the Finance Act 2013 (c.29), Schedule 46, paragraphs 119 and 129