Regulation 35D Limitation on payment of transfer valuesF1
Where the receiving scheme is not a contracted-out occupational pension scheme a transfer value may only be paid under this Section if the person—
is not qualified for retirement benefits, or
has ceased to be in pensionable employment before 6th April 1978, or
is a married woman or widow who, by virtue of an election made or treated as made under regulations under section 19(4) of the Social Security Contributions and Benefits Act 1992, either is liable to pay primary Class 1 contributions or Class 2 contributions at a reduced rate or is under no liability to pay Class 2 contributions.
Where a person has accrued section 9(2B) rights a transfer value may only be paid under regulation 31 in respect of those rights if any applicable provisions of Part 3 of the Contracting-Out (Transfer and Transfer Payments Regulations) 1996 are complied with.
Where the person has acquired a right to a cash equivalent, a transfer value may only be paid under this Section if—
the service to which the cash equivalent relates includes service before 1st September 1988, and
the right has been exercised by requiring the whole of the cash equivalent to be paid to the scheme managers of an occupational pension scheme which is not a club scheme.
Where the person has acquired a right to a part cash equivalent, a transfer value may only be paid under this Section if the person would not remain qualified for retirement benefits on taking that right.
In this regulation—
“occupational pension scheme” has the same meaning as in section 150(5) of FA 2004, and
“receiving scheme” means the scheme a person becomes subject to after leaving pensionable employment.
Annotations
Textual amendments
- F1
Pt. 4 substituted (1.4.2015) by The Teachers' Pensions (Miscellaneous Amendments) (No. 2) Regulations 2014 (S.I. 2014/2651), regs. 1, 10