RPSM07200160 - Member Pages: Investments: when
will tax be due?
When will a tax charge be due?
The following transactions are some examples that will lead to
tax charges being due.
- When the percentage limits for share investment in a sponsoring
employer are exceeded.
- When a loan to the employer fails to meet one of the 5
tests.
- When there is a non arms length transaction (i.e. one that is
not undertaken at a commercial rate).
- When there is a benefit in kind payment arising from the use of
an asset by a member or a member of their family or household.
- Where the borrowing limits are exceeded.
- Where value is shifted out of the pension scheme.
Your
scheme administrator should advise you before 7
July each year of any unauthorised payments which have been made to
you following the use of an asset held by the scheme.
It is your responsibility to tell your tax office of any
unauthorised payments made to you (see
RPSM07200170).
