Advent-ures in the MSE Forum... Our Advent calendar is live, helping you discover a new corner of the community each day. Visit the homepage and scroll down

Tax implications of repatriating QROPS fund and reinvesting

Hello all:

I was living in France when I reached retirement age in 2010, and following some research, I decided to invest my pension funds - totalled about £115K at the time - in a Qualifying Recognised Overseas Pension Scheme (QROPS). At the time this made a lot of sense because it gave me better access to my money at the time when, in the UK, I would be limited to getting an annuity. I returned to the UK in 2017, but left the QROPS pension fund in place. However, over recent years, the charges - which were a relatively small proportion of the fund at the beginning - have become excessive. I'm now in a position where I can repatriate the fund in full to do with as I wish.

I've been advised that if I do this, I will be liable to tax on the full amount, as it will be charged as income: given my current income, I will be pay 20% on most of the fund. My question is, can I repatriate the fund and immediately reinvest the whole lot in a UK-based scheme on which I can get tax relief? Alternatively, is there another tax-effective way of dealing with the repatriated fund?

Thanks in advance for any advice.

Replies

Sign In or Register to comment.
Latest MSE News and Guides

Is your local HSBC closing?

114 branches to shut in 2023

MSE News

Advent Competitions

The countdown is on

MSE Forum

Baileys £10 for 1L at Tesco

When you scan your Clubcard

MSE Deals