The Finance Bill 2021 was published on Thursday 21 October. In our latest Life & Pensions Technical Update we have summarised the pension related changes put forward in the Bill and the potential impact they may have on pension clients including:
- Removing the Approved Minimum Retirement Fund (AMRF) and the specified income requirement
- Transfers from Occupational Pension Schemes (OPS) to Personal Retirement Savings Accounts (PRSA) will no longer be restricted to those with less than 15 years of scheme service
- The compulsory requirement for dependants to purchase an annuity with the balance of funds following the payment of the Revenue maximum lump sum on death in service will no longer apply. Dependants will have the choice between annuity and Approved Retirement Fund (ARF) options
- Section 15 amends Section 774(6) of the Taxes Consolidation Act 1997 which provides tax relief for pension contributions made by a company to OPS set up for the employees of another company in certain defined circumstances.
Read the update here.