RPSM04102021 - Technical Pages: Taxation: Authorised employer payments: What are the conditions for an authorised surplus payment?

What are the conditions for an authorised surplus payment?

[s177] [The Registered Pension Schemes (Authorised Surplus Payments) Regulations 2006 - SI 2006/574] 

The conditions for an authorised surplus payment are determined by

• whether the registered pension scheme, that is an occupational pension scheme, is a continuing scheme or winding-up, and
• whether or not the scheme is subject to requirements on payments to the employer under the Pensions Act 1995.

However, there is a qualification where the surplus payment is solely in respect of the death of a member - see RPSM04102025.

Where a scheme is subject to Northern Ireland legislation, the reference to requirements under the Pensions Act 1995 should be construed as a reference to the corresponding enactment in Northern Ireland.