Finance Act 2009
Tax relief on pension contributions is set to change under measures introduced in the 2009 Budget. This will affect relatively few individuals, but it is important to encourage your clients to maximise their pension savings before the new rules take full effect on 6 April 2011.
From this date those with 'incomes' of £150,000 or more will be subject to restricted tax relief on pension savings. This takes a wider definition than the previous pensionable earnings and essentially the laws were brought in to restrict higher rate tax relief.
In the interim the government has also introduced measures to prevent people from making contributions above their regular levels.
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We're here to help You can read more about these provisions and how the Finance Act 2009 will affect individual and company pensions by using the links below. Our Markets Development Manager Nick Hunt also discusses the implications with Technical Manager Gerry Brown, in the video that follows. |
The information in this section is based on our understanding, as at October 2009, of current taxation, legislation and HM Revenue & Customs practice, all of which are liable to change without notice. The impact of taxation (and any tax reliefs) depends on individual circumstances. The extent that these changes will impact on an individual will be dependent upon his/her personal tax position.
Tools & calculators
Related links
- What does the Finance Act 2009 mean for pensions? (PDF)
- Who is affected by the Act? (PDF)
- HMRC: Differences between anti-forestalling rules and proposed tax relief restrictions (PDF)
- Case studies on tax relief changes (PDF)
- Jargon buster
- Read industry news
- Read Pru news and views
- View product literature
- Our 'Five Star' service
