RPSM02101030 - Technical pages: Registering a pension scheme with HMRC: pension schemes set up on or after 6 April 2006: Schemes applying for registration from a date on or after 6 April 2006: registration refused

Schemes applying for registration from a date on or after 6 April 2006: registration refused

The legislation requires that if the application could not be accepted so that the scheme is not registered, the notification sent by HMRC must give the reason for the decision. The scheme administrator has the right of appeal against that decision. This legislation pre-dates the regulations making the registration process a mandatory online process.

In practice, as the application is made online and entries are validated at each stage, the scheme administrator will get a screen message advising them if any part of the application is not acceptable, and will not be able to move on to the next stage of the application until they have rectified the error.

Once the scheme administrator has gone through the entire application process and all the data given has been successfully validated, HMRC will automatically register the pension scheme. It is therefore now envisaged that HMRC will not issue many (if any) notifications advising that they have decided not to register the pension scheme.

Under regulation 6 of the Registered Pension Schemes and Overseas Pension Schemes (Electronic Communication of Returns and Information) Regulations 2006 (SI 2006/570), a submission which is not accepted by HMRC's Online system is treated as not having been made. If these circumstances were to occur, then there would not have been a refusal to register the pension scheme, as no application has been made.

Under Finance Act 2004, section 156, the scheme administrator has the right of appeal against the decision of HMRC not to register a pension scheme.