Paragraph 127A Availability of member’s overseas transfer allowanceF1

This paragraph applies where—

Where the individual’s F4... lifetime allowance previously-used amount is equal to or greater than the individual’s lifetime allowance, none of the individual’s overseas transfer allowance is available on the making of the transfer.

Otherwise, the amount of the individual’s overseas transfer allowance that is available on the making of the transfer is—

or, if that produces a negative result, nil.

Sub-paragraph (5) applies where the individual’s lifetime allowance previously-used amount includes one or more amounts (“crystallised drawdown amounts”) that are attributable to the occurrence, before 6 April 2024, of benefit crystallisation event 1 (designation of money purchase funds for drawdown).

The individual’s lifetime allowance previously-used amount is to be reduced for the purposes of sub-paragraphs (2) and (3) (but not below zero) by—

The formula is—

where—

• “A” is the crystallised drawdown amount in question;

• “B” is the individual’s lifetime allowance on the occurrence of the benefit crystallisation event to which the crystallised drawdown amount in question is attributable.