PART IIE+W+S CONDITIONS APPLYING TO STAKEHOLDER PENSION SCHEMES

Restrictions on contributionsE+W+S

17.—(1) Subject to paragraph (2), [F1the scheme instruments] may permit the trustees or manager to refuse to accept a payment to the scheme of less than £20.

(2) Paragraph (1) does not permit the trustees or manager to refuse to accept any payment made to the scheme by the Inland Revenue by way of tax reliefF2....

(3) For the purposes of paragraph (1), amounts in respect of income tax deducted and retained by a member as permitted by [F3section 192 of the Finance Act 2004 (relief at source)] shall not be treated as payments to the scheme.

(4) The trustees or manager of a stakeholder pension scheme may refuse to accept any contribution if its acceptance would contravene the terms of the scheme’s [F4tax-registration].

[F5(4A) the trustees or manager of a stakeholder pension scheme may refuse to accept any contribution by, or on behalf of any member of the scheme who—

(a)has not given the declaration specified in regulation 5(2) of the Registered Pension Schemes (Relief at Source) Regulations 2005 (declaration of entitlement to tax relief in respect of net contributions); or

(b)is not a relevant UK individual for the purposes of section 189 of the Finance Act 2004 (relevant UK individual) for the tax year in respect of which the contribution is made.]

[F6(5) Subject to regulation 3(5B), the scheme instruments may permit restrictions on the means of payment of contributions to the scheme.

(6) The scheme instruments of an occupational pension scheme may permit the trustees or manager to refuse to accept, in respect of any member of the scheme who is not an active member of the scheme, any contribution by or on behalf of or in respect of that member.

(7) For the purposes of paragraph (6), “active member” has the meaning given by section 124 of the 1995 Act.]

Textual Amendments