CheckLists.Tax (beta)
Q2. Pension scheme income
INCOME TAX: SCHEME
- Exemption for income from investments or deposits
Exemption
- No liability to income tax arises on income derived from investments or deposits held for the purposes of a registered pension scheme" (s.186).
Investments (meaning)
- Includes futures contracts and options contracts (s.186(3)).
- Including cash settled futures/options (s.186(4)).
Exclusion for income derived from property investment LLP
- The exemption does not apply to income derived from investments or deposits held as a member of a property investment LLP.
- Income includes relevant stock lending fees.
Reclaiming income tax deducted at source
- Trustees should claim it back from HMRC (PTM024400).
Legislation: FA 2004, s.186;
Cases:
HMRC manuals:
PTM024400 - General principles: overview of pensions taxation: investments;
Commentary:
See also:
INCOME TAX: MEMBER
- Profits from taxable property: deemed scheme chargeable payment
Deemed scheme chargeable payment
- If: an investment-regulated pension scheme holds an interest in taxable property in a tax year;
- Then: the scheme is treated as making a scheme chargeable payment.
Quantum
- The quantum is based on the annual profit from the interest in the property.
Legislation: FA 2004, s.185A;
Cases:
HMRC manuals:
Commentary:
See also: