Pension Recycling

Costabit

First time question so pls be gentle as I am finding this Pension Recycling issue rather confusing.
In tax year end Apr2018 I made gross pension contribution of £11000 , year end 2019 gross contribution of £12000 and tax year end 2020 a gross contribution of £22000.
This current tax year I have crystallised £30000 and taken a PCLS of £7500 but will not be drawing any income. I now plan to make a further contribution of around £15K from my redundancy package.
As I have only taken £7500 PCLS , am I right to say that no pension recycling has taken place ? 
But now I also plan to take a Tax Free PCLS  of £36000 from a Defined Salary Pension fund in Feb 2022 when I turn 60.
Will this then trigger any recycling issues as I would have then had more than £7500 tax free and have made ( all be it a couple of years earlier ) a significant increase in contributions , or am I worrying unnecessarily ?
Any thoughts would be appreciated
  

Linton

One of the required tests for pension recycling is that  the pension contribution is significantly greater than it would have been had the TFLS not been taken.  ISTM that putting a significant part of a redundancy package into one's pension is standard practice and I assume you can show that you did not need the previous lump sum or the future one in to be able to afford to do this.

A second requirement is that the recycling should be pre-planned.  I assume that in 2018/2019/2020 you did not know about your redundancy and subequent taking of a PCLS.

Thirdly, as you say recycling only applies for sums of more than £7500.  So the £7500 you took this year is irrelevent.
So ISTM that you have belt and braces coverage against any suggestion of recycling.

See: https://www.pensionsadvisoryservice.org.uk/about-pensions/saving-into-a-pension/pensions-and-tax/pension-lump-sum-recycling

Albermarle

In any case it seems that HMRC take little/no interest in pursuing individual people for recycling issues.

JoeCrystal

Linton said:

ISTM

Just out of interest, what does ISTM stands for? Never seen that particular acronym.

garmeg

JoeCrystal said:

Linton said:

ISTM

Just out of interest, what does ISTM stands for? Never seen that particular acronym.

It seems to me that many people don't know this.

[Deleted User]

It seems to me

Costabit

Albermarle said:

In any case it seems that HMRC take little/no interest in pursuing individual people for recycling issues.

I feel more reassured with this, I cant  find any HMRC figures or statements on how many or how often they pursue individuals so don't think its high on their agendas . They don't seem to make much noise on it.
Tax avoidance rather than evasion maybe.

Sailtheworld

I might be missing something but you haven't increased your pension contributions so there can't be any recycling
17/18 - £11k
18/19 - £12k
19/20 - £22k
20/21 - £15k

Besides which there needs to be an element of pre-planning and redundancy isn't pre-planned.