Paragraph 64 Declaration where lump sum payments are made

After regulation H6 insert—

“Declaration where lump sum payments are made

H6A.

(1)

The Secretary of State may, before paying any lump sum under regulations E4A,E6, E6A, E19A, E31(14), I3 or I5A require the person to whom the payment is to be made to provide a declaration as specified in paragraph (2) by a date determined by the Secretary of State.

(2)

The declaration is a declaration, in a form specified by the Secretary of State, signed by the person, to the effect that paragraph 3A of Schedule 29 to the Finance Act 2004^f1 (recycling of lump sum) does not apply.

(3)

Where no such declaration is received by the Secretary of State by the date referred to in paragraph (1) —

(a)

where the payment in question would otherwise have been a lump sum under regulation E4A, E6A, or I5A, the Secretary of State may treat the election under regulation E4A, E6A or I5A as being of no effect,

(b)

where the payment in question would otherwise have been a lump sum under regulation E6, E31(14) or I3, the Secretary of State may, in place of the lump sum, pay an additional pension representing the value of the lump sum,

(c)

where the payment in question would otherwise have been a lump sum under regulation E19A, the Secretary of State need not pay the lump sum.

(4)

The amount of the additional pension referred to in paragraph (3)(b) shall be determined by the Secretary of State after taking advice from the Government Actuary.”.