It is possible to transfer your pension rights to a
non-registered scheme if the rules of your scheme allow. This
however is not treated for tax purposes as a
recognised transfer (unless it is a transfer to a
certain sort of overseas pension scheme - see
RPSM14202030) but as an
unauthorised member payment.
You, as the member, are liable to a tax charge at 40% of the amount transferred. You are also liable to an additional tax charge of 15% of the amount transferred if that amount is, either alone or when added to any other unauthorised member payments made within 12 months from that scheme, greater than 25% of your pension fund or rights within the scheme.
In addition, the scheme administrator of the scheme you are transferring from may be liable to a tax charge.
|Glossary ( RPSM20000000)|