Pension Schemes Newsletter 35

23 December 2008

Contents

Introduction

Welcome to our latest newsletter. As you see we have changed the name from 'Pensions Tax Simplification'. We aim to publish newsletters quarterly in future, or more often if there is something we need to tell you about urgently.

This edition contains a number of reminders around end of year filing as well as an update on Annual and Lifetime Allowances.

Pension Schemes Online - are your scheme details up to date?

Scheme Administrators and practitioners are reminded to ensure that details of their registered pension schemes are up to date. This includes recording any changes to the scheme name, establisher/sponsor details and changes of establisher/sponsor. If you have difficulties updating your details online please contact the HM Revenue & Customs (HMRC) Online Services Helpdesk on Tel 0845 6055 999.

For guidance on how to use Pensions Schemes Online please refer to our Online User Guide which was updated in July 2008.

Forthcoming filing deadlines

You are reminded of the forthcoming deadlines.

Form/Return

Filing deadlines

Pension Scheme Return (only if you have been issued with a notice to file)'
Event Report
SA970 Self Assessment Return for Trustees of Registered Pension Schemes (paper only). If you have received one or you need to file one (see below)

31 January 2009

AFT for Quarter 3 - 1 October to 31 December only if you have something to report

14 February 2009

AFT for Quarter 4 - 1 January to 31 March only if you have something to report

15 May 2009

Enhanced and/or Primary Protection

Notifications of Enhanced and/or Primary Protection against the Lifetime Allowance tax charge must be made to HMRC on or before 5 April 2009. Such notifications must be made on form APSS200 (Protection of Existing Rights) available on the HMRC website at HM Revenue & Customs: Protection Registered Pension Schemes: Forms and Completion notes.

Registered Pension Scheme Return reminders

Reminders have been sent to the Scheme Administrators shown on our records that are required to but have not yet submitted a Registered Pension Scheme Return (PSR). If you have taken over as Scheme Administrator to whom a reminder has been issued, but you do not directly receive a reminder yourself, it is your responsibility under Section 271(2) FA 2004 as the new Scheme Administrator to submit the PSR.

Please note that a notice to submit a PSR issued to pension Scheme Administrators should not be confused with a request to file a Pension Scheme Self Assessment Tax Return (SA970), which we may issue (see paragraph below). If you receive notices to file both returns then you need to submit both to HMRC.

Remember that penalties will be imposed on the Scheme Administrator if there is a failure to submit the PSR on time.

Tax Return for the Trustees of Registered Pension Schemes - SA970

A Self Assessment return (SA970) will not be issued unless you have made a claim for tax paid or had a liability to declare in the previous tax year or if it is your first claim. However, if a return is issued, it should be completed and returned, whether or not it falls into this category. This is a statutory requirement. If a return has not been issued, the onus is on the scheme trustees to send one to us if it is appropriate. Last year we received a large number of unsolicited returns which did not fall into either of these categories and therefore urge trustees not to submit them if they are not needed.

For more details about the circumstances in which a tax return for a Registered Pension Scheme - SA970 may be issued see the Newsletter 25 and Newsletter 31.

The Pensions Regulator Scheme Return

The Pensions Regulator is the UK Regulator of work-based pension schemes. Since April 2007 the Regulator has issued their scheme return notices to pension schemes that have registered with the Regulator. Occupational pension scheme trustees have been asked to register as a user of their online system called 'Exchange' to complete and submit their scheme return. The Regulator's scheme return is different to the Registered Pension Scheme Return which you may have received a notice to file from HMRC.

More information about the Pensions Regulator Scheme Return can be found on their website.

Annual and Lifetime Allowances

The Annual Allowance (AA) and Lifetime Allowance (LTA) for pensions tax relief were set in a Treasury Order, SI 2007/494, for the period 2006-07 until 2010/11. The LTA will rise to £1.75 million in 2009-10 and then to £1.8 million in 2010-11; the AA will at the same time be increased to £245,000 and then to £255,000. As mentioned in the recent Pre-Budget Report, both the LTA and AA will then remain constant at their 2010-11 rates for a further period of five years, up to and including 2015-16. A Treasury Order will be issued to set this out in legislation.

Contact us

If you have any questions about anything to do with tax rules for pensions and you cannot find the answer in the Registered Pension Schemes Manual, please contact us by email or phone our helpline number on Tel 0845 600 2622 (9.00 am to 5.00 pm Monday to Friday) or you can write to us at:

Pension Schemes Services (PSS)

Yorke House
Castle Meadow Road
Nottingham
NG2 1BG