RPSM02100110 - Technical pages:
Registering a pension scheme with HMRC: pension schemes which exist
at 5 April 2006: Modifying the rules of existing pension schemes:
Unauthorised payments on or after 6 April 2006 and scheme sanction
charge
Modifying the rules of existing pension schemes: Unauthorised
payments on or after 6 April 2006 and scheme sanction charge
| The Registered Pension Schemes (Modification of the Rules
of Existing Schemes) Regulations 2006 [SI 2006/364] |
| The Registered Pension Schemes (Unauthorised Payments by
Existing Schemes) Regulations 2006 [SI 2006/365] |
Ordinarily, the
scheme administrator of a
registered pension scheme is liable to a scheme
sanction charge where the scheme makes an unauthorised payment
which is a scheme chargeable payment (see
RPSM04104800).
However, where the unauthorised payment is made under the
discretionary power given by the Registered Pension Schemes
(Modification of the Rules of Existing Schemes) Regulations 2006
[SI 2006/364], the Registered Pension Schemes (Unauthorised
Payments by Existing Schemes) Regulations 2006 [SI 2006/365] make
provisions regarding how much of the payment is subject to the
scheme sanction charge (see
RPSM04104835).
The
unauthorised payments charge and, where
applicable,
unauthorised payments surcharge will apply as
normal in respect of all of the unauthorised payment made in
accordance with the use of the discretionary power in relation to
that existing provision.
