# The MPs’, Senedd and Assembly Pension Schemes (Tax) Regulations 2025, Regulation 5: Payment of pension benefits: further defined benefits lump sum death benefit


(1) This regulation applies where—
(a) a defined benefits lump sum death benefit (“the original payment”) was paid under a relevant pension scheme in respect of the death of a member,
(b) the original payment was made before the end of the relevant two-year period,
(c) as a result of a rectification exercise, the amount of the defined benefits lump sum death benefit payable under the scheme in respect of the death increases,
(d) a payment (“the later payment”) is made in respect of the increase, and
(e) the later payment is not made before the end of the relevant two-year period.
(2) The later payment is to be treated for the purposes of the following provisions as having been made before the end of the relevant two-year period—
(a) section 637H(2), (3) and (4) of ITEPA 2003 (circumstances in which payment of defined benefits lump sum death benefit is subject to income tax);
(b) section 206(1B) of FA 2004 (circumstances in which payment of defined benefits lump sum death benefit is subject to the special lump sum death benefits charge).
(3) In this regulation, “the relevant two-year period” means the period of two years beginning with the earlier of the day on which the scheme administrator of the scheme first knew of the member's death and the day on which that scheme administrator could first reasonably have been expected to have known of it.

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Source: https://www.legislation.gov.uk/uksi/2025/52/regulation/5 (the official version)
Page: https://openlegislation.uk/mps-senedd-and-assembly-pension-schemes-tax-regulations-2025/regulation-5
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.