{
  "url": "https://openlegislation.uk/finance-act-2004/section-239",
  "json_url": "https://openlegislation.uk/finance-act-2004/section-239.json",
  "legislation": "ukpga/2004/12",
  "legislation_title": "Finance Act 2004",
  "legislation_url": "https://openlegislation.uk/finance-act-2004",
  "path": "section/239",
  "kind": "section",
  "number": "239",
  "heading": "Scheme sanction charge",
  "text": "(1) A charge to income tax, to be known as the scheme sanction charge, arises where in any tax year one or more scheme chargeable payments are made by a registered pension scheme.\n(2) The person liable to the scheme sanction charge is the scheme administrator.\n(3) But—\n(a) in the case of a payment treated by virtue of section 161(3) and (4) (payments under investments acquired with scheme assets) as having been made by a pension scheme which has been wound up, the person liable to the scheme sanction charge is the person who was, or each of the persons who were, the scheme administrator immediately before the pension scheme was wound up, ...\n(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .\n(3A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .\n(4) A person liable to the scheme sanction charge is liable whether or not—\n(a) that person, and\n(b) any other person who is liable to the scheme sanction charge,\nare resident ... ... in the United Kingdom.\n(5) The following sections make further provision about the scheme sanction charge—\nsection 240 (amount of charge), and\nsection 241 (scheme chargeable payment).\n(6) This section is subject to provision made by regulations under section 273ZA (income and gains from taxable property).",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Words in s. 239(3) inserted (19.3.2014) by Finance Act 2014 (c. 26), Sch. 5 paras. 12(1)(a), 15"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "S. 239(3)(b) and word omitted (18.11.2024 for the tax year 2024-25 and subsequent tax years) by virtue of The Pensions (Abolition of Lifetime Allowance Charge etc) (No. 2) Regulations 2024 (S.I. 2024/1012), regs. 1(2)(3), 5(2)(a)"
    },
    {
      "type": "F",
      "label": "F3",
      "text": "S. 239(3A) omitted (18.11.2024 for the tax year 2024-25 and subsequent tax years) by virtue of The Pensions (Abolition of Lifetime Allowance Charge etc) (No. 2) Regulations 2024 (S.I. 2024/1012), regs. 1(2)(3), 5(2)(b)"
    },
    {
      "type": "F",
      "label": "F4",
      "text": "Words in s. 239(4) omitted (with effect in accordance with Sch. 46 para. 132 of the amending Act) by virtue of Finance Act 2013 (c. 29), Sch. 46 para. 130"
    },
    {
      "type": "F",
      "label": "F5",
      "text": "Words in s. 239(4) omitted (for the tax year 2025-26 and subsequent tax years) by virtue of Finance Act 2025 (c. 8), s. 40(4), Sch. 9 para. 15(3)(h)"
    },
    {
      "type": "F",
      "label": "F6",
      "text": "S. 239(6) inserted (retrospective to 6.4.2006) by Finance Act 2006 (c. 25), s. 158(2), Sch. 21 para. 8"
    },
    {
      "type": "C",
      "label": "C1",
      "text": "S. 239 modified (6.4.2006) by The Registered Pension Schemes (Splitting of Schemes) Regulations 2006 (S.I. 2006/569), regs. 1(1), 3(1)(2), Sch. 3 Pt. 1"
    },
    {
      "type": "C",
      "label": "C2",
      "text": "S. 239 modified by The Taxation of Pension Schemes (Transitional Provisions) Order 2006 (S.I. 2006/572), art. 18 (as amended (19.3.2014) by Finance Act 2014 (c. 26), Sch. 5 paras. 12(4)(5), 15)"
    },
    {
      "type": "I",
      "label": "I1",
      "text": "Ss. 160-274, 281, Schs. 30-35 in force at 6.4.2006 but any power to make an order or regulations under those provisions may be exercised at any time after Royal Assent, see s. 284"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2004/12/section/239",
    "retrieved_at": "2026-10-28T17:08:09.921968+00:00",
    "licence": "OGL-UK-3.0",
    "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
    "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
  }
}