Section 2 Restriction and reduction of tax charges on certain lump sums

Chapter 5 of Part 4 of FA 2004 (registered pension schemes: tax charges) is amended as follows.

In section 206(1) (special lump sum death benefits charge arises where certain lump sums are paid by a registered pension scheme) after “registered pension scheme” insert “ in respect of a member who had reached the age of 75 at the date of the member's death ”.

In section 206(4) (special lump sum death benefits charge: rate of charge) for “55%” substitute “ 45% ”.

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The amendments made by this section apply to lump sums paid on or after 6 April 2015.