RPSM13100470 - Technical Pages:
International: Enhancement: Recognised overseas scheme transfer
factor: How to calculate the factor
How to calculate the recognised overseas scheme transfer
factor
Where a transfer is made as described in
RPSM13100420, an individual's
lifetime allowance is enhanced by a recognised
overseas scheme transfer factor, which is established as
follows:
- Calculate any relevant relievable amount
(see
RPSM13100490).
- Deduct the result of the first bullet
point from the total amount of sums and assets transferred
(including the market value of any assets transferred) from an
arrangement under a
recognised overseas pension scheme (see
RPSM14101040) made after 5 April
2006.
- Express the resulting amount in the second
bullet point as a factor of the
standardlifetime allowance as at the date on which the
transfer took place.
The recognised overseas scheme transfer factor can be used by
the individual in respect of any
benefit crystallisation event occurring after the
transfer is made.
RPSM13100480 gives some
examples.
