(This archived guidance relates to HMRC discretionary
practice before the 6th April 2006. For current guidance on
Registered Pension Schemes see the Registered Pension Schemes
Manual)
The permitted maximum applies to the calculation of benefits
of employees who do not have continued rights (see
PSI2.3.23). In respect of
schemes approved before Royal Assent to the Finance Act 1989 (27
July 1989) it is applied through the overriding provisions of
paragraph 20, Part II, Schedule 6, FA 89. In relation to schemes
approved on or after 27 July 1989, it must feature in scheme rules
under revised discretionary practice as a condition of approval
under section 591 ICTA 1988 (see
PSI2.3.13).
