Tuesday, October 24, 2017
You are here: Isle of Man > Isle of Man News
Isle of Man News
General News
The Reciprocal Agreement with the UK for the Transfer of Pension Rights 24 February 2006

    From 6th April 2006, when the simplified pension scheme tax regime is introduced in the UK, pension rights transfers from the UK to the Isle of Man will no longer be subject to HM Revenue and Customs (HMRC) discretion and individuals will not have to meet any HMRC conditions as is the case under the current tax rules and the reciprocal agreement. HM Revenue and Customs believe that the new rules will make it easier to make transfers than the existing bilateral arrangements.

    As a result the existing reciprocal agreement between HMRC and the Assessor for the transfer of pension rights with the Isle of Man will become redundant and will be terminated with effect from 5th April 2006. This position will similarly apply to HMRC’s reciprocal transfer arrangements with the Republic of Ireland, Jersey and Guernsey from that date.

    The ability of an Isle of Man resident moving to the UK on changing their job after 5th April 2006 to transfer their pension back to the UK will remain but will be under the new regime.

    Guidance on the new UK overseas transfer rules is provided in Part 14 of the Registered Pension Schemes Manual which is available on the HMRC internet site. This guidance will be amended by HMRC to take account of some recent changes to draft regulations. The revised draft of “The Pension Schemes (Categories of Country and Requirements for Overseas Pension Schemes and Recognised Overseas Pension Schemes) Regulations 2005” is also available on the HMRC internet site.

    M Couch

    Assessor of Income Tax

    24th February 2006

    More stories >>>  

    Related News Articles
    Tax Return Deadline Nears 22 April 2013
    The 5 May 2013 deadline for submitting contractor’s and employer’s tax returns is now only a few weeks away. [More]
    Isle of Man signs Double Taxation Agreement with Luxembourg 18 April 2013
    As part of the Isle of Man Government’s ongoing programme of signing Double Taxation Agreements (DTAs) and Tax Information Exchange Agreements (TIEAs), the Isle of Man has signed a comprehensive DTA with Luxembourg. [More]
    Isle of Man signs Double Taxation Agreement with Seychelles 11 April 2013
    The Isle of Man has continued its programme of developing closer economic and taxation co-operation with other countries by concluding a Double Taxation Agreement (DTA) with the Republic of Seychelles. [More]
    Corporate Income Tax Return for Accounting Period Ending 5 April 2012 5 April 2013
    If a corporate taxpayer fails to submit its income tax return by the due date then they become liable to a £250 late return penalty. [More]
    Corporate Income Tax Return Form for Accounting Period Ending on 31st March 2012 28 March 2013
    If a corporate taxpayer fails to submit its income tax return by the due date then they become liable to a £250 late return penalty. [More]

    Other Guides by Maxima Systems Ltd: Disney World