RPSM15104010 - Technical Pages: Special annual allowance: Protected inputs - new and re-activated: Overview

This guidance only applies for the 2009-10 and 2010-11 tax years.

Overview

The special annual allowance applies in respect of new pension savings that are put into registered pension schemes during the 2009-2010 or 2010-2011 tax years where that new pension saving is made by, on behalf of, or in respect of an individual with relevant income of £130,000 or more (see RPSM15101000).

In this context, ‘new pensions savings’ means pension input amounts in respect of arrangements that are

• made on or after 22 April 2009 / on or after 9 December 2009,
• ‘re-activated’ on or after 22 April 2009 / on or after 9 December 2009,
• or both.

An arrangement is ‘re-activated’ where a member ceased to be an active member in relation to the arrangement and again became an active member in relation to the arrangement on or after 22 April 2009 / on or after 9 December 2009. This includes, in relation to an arrangement, a member who

• ceased to be an active member before 22 April 2009 / before 9 December 2009,
• ceased to be an active member on or after that date, or.
• ceased to be an active member before 22 April 2009 / before 9 December 2009 and who then became an active member on or after that date and who then ceased to be an active member and then became an active member again and so on.

Where the above applies for a particular tax year in respect of an individual (because that individual’s relevant income is £130,000 or more for the tax year concerned), the references to 22 April 2009 apply in relation to an individual who has relevant income of £150,000 or more for 2009-2010. Otherwise the above would still apply but the references to 9 December 2009 apply instead (see RPSM15103025 for more details).