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PCLS re-instatement?

SallyG
SallyG Posts: 850 Forumite
http://citywire.co.uk/new-model-adviser/aegon-in-talks-with-hmrc-over-reinstating-pension-lump-sums/a742266?ref=new-model-adviser-todays-news-list


'If someone has taken an open market option, they may take the tax-free cash sum with ourselves and then transfer the balance to somebody else. If we’ve paid it out normally we cannot reinstate it because HMRC rules prevent us from putting it back in the policy.

‘We’re trying to, among others, because we’re in such a unique position at the moment and customers have made decisions which could turn out wrong for them because the government has changed their rules. We want to see if HMRC could relax the rules.

‘We have spoken to HMRC about this to temporarily allow customers to review their choices.’

Comments

  • gadgetmind
    gadgetmind Posts: 11,130 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Um, why?

    I can see someone wanting to can a recent annuity, but what's wrong with keeping the PCLS out of the pension tax regime?
    I am not a financial adviser and neither do I play one on television. I might occasionally give bad advice but at least it's free.

    Like all religions, the Faith of the Invisible Pink Unicorns is based upon both logic and faith. We have faith that they are pink; we logically know that they are invisible because we can't see them.
  • SallyG
    SallyG Posts: 850 Forumite
    Still can't figure out any benefit to the receiver ......
    just a Good Idea for the provider..... "open market option" seems to figure ? - maybe they reckon they can now retrieve the customer into drawdown?
This discussion has been closed.
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