Part 4

Employment income: exemptions
Chapter 9

Exemptions: pension provision

Independent advice in respect of conversions and transfers of pension scheme benefits
308B
1
No liability to income tax arises in respect of—
a
the provision to an employee or former employee of appropriate independent advice, or
b
the payment or reimbursement, to or in respect of an employee or former employee, of the cost of such advice,
if conditions A to C are met.
2
Condition A is that the provision, payment or reimbursement is required by regulations under section 49 or 52 of the Pension Schemes Act 2015 (power to require employer to arrange independent advice in respect of conversions and transfers).
3
If condition A is met only as respects part of the payment or reimbursement because the amount of the payment or reimbursement exceeds the amount required to be paid or reimbursed, subsection (1) applies in respect of that part.
4
Condition B is that the provision, payment or reimbursement is not pursuant to relevant salary sacrifice arrangements.
5
Condition C is that such other requirements as may be specified in regulations made by the Treasury are satisfied in relation to the provision, payment or reimbursement.
6
In this section—
- “appropriate independent advice”—
  1. in relation to England and Wales and Scotland, has the meaning given by regulations under section 48 of the Pension Schemes Act 2015;
  2. in relation to Northern Ireland, has the meaning given by regulations under section 51 of that Act;
- “
relevant salary sacrifice arrangements
” means arrangements (whenever made, whether before or after the employment began) under which an employee gives up the right to receive an amount of general earnings or specific employment income in return for the provision of appropriate independent advice or the payment or reimbursement of the cost of such advice.
S. 308B inserted (with effect in accordance with s. 54(3) of the amending Act) by Pension Schemes Act 2015 (c. 8), ss. 54(1), 89(3)(b) (with s. 87)
Pt. 4 modified (10.6.2021) by Finance Act 2021 (c. 26), s. 26(3)