Regulation 10 Application of transfer payments to a personal pension scheme from or originating from certain schemes mentioned in Chapter I for the provision of “death benefits”I1
United Kingdom
Where a personal pension scheme has in the circumstances described in regulation 8(2) (omitting the word “proposed” wherever it occurs) accepted a transfer payment from—
an approved retirement benefits scheme, or
a relevant statutory scheme, or
another personal pension scheme in circumstances where the transfer payment, or part of it, had its origin in a transfer payment from an approved retirement benefits scheme or a relevant statutory scheme,
the accumulated value arising from that transfer payment or, as the case may be, that part shall be applied after the death of the individual referred to in regulation 8(2) in accordance with paragraph (2) or (3), in the events described in paragraph (2).
Where the individual dies before any benefits have been paid to him under an arrangement under which the transfer payment falls to be held, the accumulated value arising from that transfer payment or, as the case may be, that part shall be applied—
wholly to secure the payment to a surviving spouse or (if the arrangement so provides) a dependant of an annuity which satisfies the conditions in section 636 of the Taxes Actf1, or
to secure the payment of income withdrawals by the surviving spouse or (if the arrangement so provides) the dependant with respect to which the conditions in section 636Af2 of the Taxes Act are satisfied and, as to any amount not used for that purpose, to secure the payment to the surviving spouse or (if the arrangement so provides) the dependant of such an annuity as is referred to in sub-paragraph (a), or
as to not more than 25 per cent. to secure the payment of a lump sum and as to the balance to secure the payment to the surviving spouse or (if the arrangement so provides) the dependant of such an annuity as is referred to in sub-paragraph (a), or of such income withdrawals and annuity as are referred to in sub-paragraph (b).
In the events described in the words of paragraph (2) preceding sub-paragraph (a), subject to sub-paragraphs (a) to (c) of that paragraph, the whole of the accumulated value may be applied to secure the payment of a lump sum.
Annotations
Commencement
- I1
Reg. 10 in force at 14.2.2001 for specified purposes and 6.4.2001 in so far as not already in force but with effect in accordance with reg. 15(1), see reg. 1
Footnotes
- f1
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Section 636 was amended by paragraph 6 of Schedule 11 to the Finance Act 1995 and paragraph 13 of Schedule 10 to the Finance Act 1999 (c. 16).
- f2
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Section 636A was inserted by paragraph 7 of Schedule 11 to the Finance Act 1995.