If you are thinking about setting up a business, and need it done quickly and easily with no additional requirements, then this package is the perfect choice.
This package is a cheap and efficient way to begin business, and includes the provision of a registered office address in London for the duration of one year.
This package is a not expensive and efficient way to begin business, and includes the provision of a registered office address in London and a nominee secretary for the duration of one year.
This package is one of the most cost effective and the efficient way to start a UK company, which includes a registered office address in London, a nominee secretary, and a nominee director for the duration of one year.
E-quick*
£32.00
Economy
£82.00
Premier
£207.00
Deluxe
£557.00
Usefull links
Further information
Private company limited by shares
No Annual Charges
Private company limited by shares
Annual Fee From: £50.00
Private company limited by shares
Annual Fee From: £175.00
Private company limited by shares
Annual Fee From: £525.00
Usefull links
Further information
Private Company Limited by Shares:
A private company limited by shares in England and Wales must have at least one director, one shareholder, and may have a secretary.
You need at least one person to form this type of company. If there is only one director, and that director is a natural person in your company, that director can also act as the secretary.
A company must have at least one director who is a natural person. This requirement is met if the office of director is held by a natural person as a corporation sole or otherwise by virtue of an office.
You can register a sole director' company, if you are familiar with the secretaries duties and responsibilities, because all of them belongs to a sole director.
The directors and secretary of your company can also be shareholders.
The Companies Act imposes no restriction on the minimum age of company directors. However Companies House will actively discourage the appointment of anyone under the age of 16 from taking up a company directorship on the grounds that the individuals concerned may not fully understand the legal liabilities that go with the position and for the most part will not have the experience necessary to perform the duties of a company director.
Under the Companies Act 2006, there is no restriction on any or all of the members/shareholders being from an overseas country (i.e. outside the United Kingdom in terms of residency, domicile, citizenship, place of incorporation or all or any of those concepts).
There is no requirement for the officers of your company to be UK citizens or residents, nor for them to hold valid work permits.
Owning, or being an officer of a UK company does not, however, grant you any right to live or work in the UK if you are a foreign national.
Your company must have a registered office address within England or Wales; this is the official address of your company and will be on the public record as such.
Your company must hold its official company documents at its registered office address: its register of shareholders, and its constitutional documents.
So long as you maintain a registered office address in England or Wales, you can conduct your business from any place in the world: you do not have to run your business from your registered office address.
Coddan offers company formation, ready-made company registration for UK limited companies.
We offer electronic filing enterprises & registering corporation services. In addition to
business registrations, we offer trademark registration, shareholder agreements, toll-free
numbers, telephone answering, virtual office and company searches for UK limited companies.
You are an accountant for whom company establishment is a frequent activity or an individual
ordering your first company registrations. Start a company by incorporating or forming a LTD,
PLC or LLP at Coddan. Learn about incorporation & how to incorporate your business
online: register a business name, company registration, business registration numbers, company
house web filing - business name registration check. Whether you start-up online, register
London business or form a corporation Scotland, we can help you understand the business start-up
process for filing LTD United Kingdom.
Previous
Next
Incorporate or form an LLC – online: company registrar
United Kingdom, limited company formations & corporation registration, electronically LLC
online, very easy and informative. In addition to private companies Great Britain, we offer
trademark registration, shareholder agreements, 0870 numbers, telephone answering, virtual office and company searches for English companies. Information to help start,
grow or manage a small business. If you are starting a business Edinburgh or starting own business Northern Ireland, read our starting business Republic of Ireland guide.
Home business and small business training and ideas site to help you start Belfast, grow, and expand a home-based business or search for the work at home job right.
An outline of the general steps for incorporation in Great Britain, explaining how to incorporate your business Dublin, from choosing where to incorporate your business.
UK ready-made company formation services and company registrations online, our offices keep a stock of ready made companies, and would be happy to supply details on request.
We offer offshore ready-made companies in different jurisdictions, readymade offshore companies also called as offshore shelf companies, shelf off-shore companies for sale:
starting applying for a business name, business name registration partnership, grants for
starting a business and starting a business from home.
Previous
Next
Open company same-day and offshore setting-up services using our online starting-up service for
Limited Liability Company Offshore companies. Start enjoying the tax benefits and personal
liability protection that forming a corporation or Limited Liability Company (LLC) provides.
Offshore company incorporation, offshore checking and offshore saving accounts, offshore time
deposits, offshore mutual funds, offshore money market accounts and offshore asset protection
provided by Coddan. Company formations, limited company formations, electronic incorporations,
company formation agents, paperless company registrar, electronic companies filing, United
Kingdom limited company, setting corporation Ireland, business incorporation Scotland, open
company England, London company registration, electronic companies filing, British companies
registrars, business consultants, company law, public limited company, plc, international
companies, ltd, inc, limited liability, enterprise, organization, organization, tax, taxation,
England, firm, partnership, trade, profession, contractors, business, private limited company,
limited by shares, ready-made companies, readymade company, aged company, off the shelf
company, shelf companies list.
Previous
Next
Specializes in company registration and secretarial services.
Provides list of shelf company, services and cost quotation, business name registration,
company house direct, starting a business - sole trader business registration.
This is actually a pretty good reason to incorporate in Delaware or Nevada. In fact, you could
be a foreigner from Lebanon, never setting foot on American soil, form a Delaware corporation
and no one would know who you are! However, many states will require the owners and/or officers
and/or directors information while operating in that state (as a foreign corp.). Besides,
how many small businesses require anonymity? Incorporate, incorporation, incorporating,
incorporation services, incorporating services, incorporate Wyoming business online,
incorporating Oregon business, New York LLC formation, Louisiana limited liability corporation,
Texas articles of incorporation, Florida company incorporation, California non profit
corporation, corporate name search offshore, BVI corporate name availability, Seychelles
corporate name registration.
Previous
Next
Learn about incorporation services UK and incorporate London
online: starting your own business, business ideas, starting a business on ebay or buying a
business with legal requirements for starting a business. Online England company formations,
online company London W1 formation, Glasgow formation agent, Liverpool formations agent,
Scottish companies house, forming a company Scotland, starting a business Wales, form a
limited company Oxford, United Kingdom business registration agents, online Great Britain
company registration. E-Business, small business, business structures defined: the limited
liability company business structures defined: the limited liability company IRS treatment of
the one-member LLC. An LLC with only one member / owner is automatically considered to be a
sole proprietorship unless an election is made to be treated as a corporation. Thus, the sole
member of an LLC will file (Form 1040), (U.S. Individual Income Tax Return), ideas for starting
a business, grants for starting a business, starting a business from home, starting your own
business - business ideas, starting a business on ebay, buying a business: legal requirements
for starting a business, ideas for starting a business.
Previous
Next
A business may be conducted by a company
as an entity in its own right and comes into existence by incorporation under companies
legislation which also regulates the running of the company and sets out the duties of its
officers. In recent years trading trusts have been commonly used as the structure for carrying
on a business with their main objective of tax minimization. A trust requires a trustee to act
on behalf of a trust and it has been preferable to have a company newly incorporated to act as
the trustee as it is believed that this limits the liability of the trust to the paid-up capital
of the Trustee Company. A trust is formed by a gift or settlement being made to the trustee on
behalf of the, as yet unformed, trust. A solicitor draws up a Trust Deed setting out the powers
and formalizing the administration of the trust. The trust has beneficiaries rather than
shareholders as in a company, who are entitled to distributions of capital and/or income and
these distributions, are controlled by the trustee.
Previous
Next
The distribution made to beneficiaries are
subject to income tax as part of their personal income and are liable for provisional tax on
these distributions. Citizens and residents of other countries may incorporate in the United
Kingdom through the standard incorporation procedures set forth by each state. Provides UK
company formations, trademark registration, registered office facilities and company secretary
services. Professional company formation, register your company online, we may establish new
business at one day. An online guide to starting up and expanding your business.
Previous
Next
This is one of our most popular packages with worldwide customers, and includes: -
EQUICK-4 zvezdy :-****
Pomeniat' sro4no. Eto economy4 zvezdy. -
ECooonooomyy-4 zvezdy :-****
Premier blablabla 4 zvezdy. -
premier-4 zvezdy;)
Our Deluxe package is a fast and easy option, it is ideal for the UK, EU, and international small to medium businesses who wish to appoint a nominee director and a nominee secretary in order to maintain the anonymity of the real owner, and it includes: -
Incorporation of your company from scratch using one of our registered office addresses in London, our nominee director and nominee secretary. We can appoint your own candidate(s) to the role of shareholder(s), or you can appoint a nominee sharholder provided by Coddan;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The provision of a registered office address for 12 months is included in the price of this package (our registered office address service is charged annually);
The provision of a nominee secretary for 12 months is included in the price of this package (our nominee secretary service is charged annually);
The provision of a nominee director for 12 months is also included in the price of this package (our nominee director service is charged annually);
The following two hard bound copies of corporate documents, will be send by post to you upon formation of your private limited company: -
A laminated copy of the certificate of incorporation of your company;
A hard bound copy of the memorandum and articles of association;
A hard bound copy of the minutes of the first meeting of directors;
Share certificates, and your company register;
The general power of attorney signed by a nominee director;
Pre-signed, undated resignation letter from a nominee director;
The agreement for the provision of nominee service and indemnification of nominee.
2 zdezda deluxe. -
2 zdezda deluxe)
3 zdezda deluxe. -
3 zdezda deluxe
4 zdezda deluxe -
4444444
This is our most popular package with the UK residents, and includes: -
The registration of your company from scratch using your own registered office address,
and appoint your own candidates to the roles of director, secretary (if needed), and shareholder;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The following documents, which need to be printed and signed, will be e-mailed to you upon formation of your company: -
A certificate of incorporation (requires PDF file reader);
The memorandum & articles of association (requires PDF file reader);
The first meeting of the board of directors (requires PDF file reader);
Share certificates and a company register (requires PDF file reader).
*If you do not have an a valid address in the UK, which can be used as the registered office address for your company, please check our Economy package. The non-UK address cannot be acceptable as the office address for the UK company.
This is our most popular package with the UK and EU residents, and includes: -
The registration your company from scratch using one of our registered office addresses, and appoint your own candidates to the roles of director, secretary (if needed), and shareholder;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The provision of a registered office address for 12 months is also included in the price of this package (our registered office address service is charged annually);
The following documents, which need to be printed and signed, will be e-mailed to you upon formation of your company: -
A certificate of incorporation (requires PDF file reader);
The memorandum & articles of association (requires PDF file reader);
The first meeting of the board of directors (requires PDF file reader);
Share certificates and a company register (requires PDF file reader).
This is another one very popular package with worldwide customers, and includes: -
The formation of a company limited by guarantee usually takes as little as five to seven working days from the time that your application and payment are received by Coddan;
The incorporation your BVI company limited by guarantee from scratch using our registered agent & registered office address, and appoint your own candidate to the role of a members;
The government and initiation fees for incorporation are included in the price of this package;
The search for a company name availability, confirmation, and reservation;
An original certificate of incorporation
A hard bound copy of the memorandum & articles of association
The preparation and submission of the memorandum and articles of association;
A local registered office address and a local registered agent for 12 months are included in the price of this package (our registered agent & office address service are charged annually);
The provision of a nominee director for one year is also included in the price of this package (our nominee director service is charged annually);
To receive an original of the certificate of incorporation from the Companies Registrar usually takes as little as two to three days from the time of incorporation.
The following hard bound copy of corporate documents, will be posted to you upon formation of your company limited by guarantee: -
An original certificate of incorporation;
A hard bound copy of the memorandum and articles of association;
The minutes of the first meeting of the board of directors;
A completed register of directors and members;
An elegant printed membership certificates;
A pliers seal.
The general power of attorney signed by a nominee director (additional fee applies);
Pre-signed, undated resignation letter from a nominee director;
The agreement for the provision of a nominee service and indemnification of nominee.
This is our most popular package with international customers, and includes: -
The formation of a company limited by guarantee usually takes as little as five to seven working days from the time that your application and payment are received by Coddan;
The registration your BVI company limited by guarantee from scratch using our registered agent & registered office address, and appoint our own candidates to the role of a nominee director and a nominee member;
The government and initiation fees for incorporation are included in the price of this package;
The search for a company name availability, confirmation, and reservation;
The preparation and submission of the memorandum and articles of association;
A local registered office address and a local registered agent for one year are included in the price of this package (our registered agent & office address service are charged annually);
The provision of a nominee director for 12 months is included in the price of this package (our nominee director service is charged annually);
A completed register of directors and members
The provision of a nominee member for 12 months is also included in the price of this package (our nominee member service is charged annually);
To receive an original of the certificate of incorporation from the Companies Registrar usually takes as little as two to three days from the time of incorporation.
The following hard bound copy of corporate documents, will be posted to you upon formation of your company limited by guarantee: -
An original certificate of incorporation;
A hard bound copy of the memorandum and articles of association;
The minutes of the first meeting of the board of directors;
A completed register of directors and members;
An elegant printed membership certificates;
A pliers seal.
Pre-signed, undated letters of resignation from a nominee director and a nominee member;
A general power of attorney signed by a nominee director (additional fee applies);
A declaration of trust from a nominee member;
An indemnity letter for the power of attorney;
A nominee agreement which provides for the indemnification of the nominees.
This is another one of our most popular packages for small and medium size businesses, such as those being run by a sole director from home, and for companies owned by overseas residents who still need a local registered office address, but would rather not open a local office in the UK;
This package is often chosen by such customers, who are looking to minimise a sole director' personal liability (and who are not quite familiar with the UK corporate legislation), because this package includes thye provision of a nominee secretary for 12 months. This package is also includes: -
The registration your company from scratch using one of our registered office addresses, and appoint your own candidates to the roles of director, and shareholder;
The standard capital on formation is £1.00, this is divided into 1.00 ordinary share valued at £1.00 (a minimum of one share must be issued);
The formation of a limited company usually takes as little as four to six hours from the time that your application and payment are received by Coddan;
The government fee for incorporation is included in the price of this package;
The provision of a registered office address for 12 months is included in the price of this package (our registered office address service is charged annually);
The provision of a nominee secretary for 12 months is also included in the price of this package (our nominee secretary service is charged annually);
The following hard bound copy of the corporate documents, will be send by post to you, upon formation of your private limited company: -
A laminated copy of the certificate of incorporation of your company;
A hard bound copy of the memorandum and articles of association;
A hard bound copy of the minutes of the first meeting of directors;
Share certificates, and your company register.
This is another one very popular package with worldwide customers, and includes: -
The formation of a limited partnership usually takes as little as five to seven working days from the time that your application and payment are received by Coddan;
The incorporation your BVI offshore limited partnership from scratch using our registered agent & registered office address, and appoint your own candidate to the role of a general partner;
The government and initiation fees for registration are included in the price of this package;
The search for a limited partnership name availability, confirmation, and reservation;
The preparation and submission of the partnership agreement;
A local registered office address and a local registered agent for 12 months are included in the price of this package (our registered agent & office address service are charged annually);
The provision of a nominee limited partner for one year is also included in the price of this package (our nominee limited partner service is charged annually);
To receive an original of the certificate of incorporation from the Companies Registrar usually takes as little as two to three days from the time of incorporation.
The following hard bound copy of corporate documents, will be posted to you upon formation of your offshore company: -
An original certificate of incorporation;
A hard bound copy of the partnership agreement;
The minutes of the first meeting of the board of partners;
A completed register of partners;
An elegant printed membership certificates;
A pliers seal;
The general power of attorney signed by a nominee limited partner (additional fee applies);
Pre-signed, undated resignation letter from a nominee limited partner;
The agreement for the provision of a nominee service and indemnification of nominee.
This is our most popular package with international customers, and includes: -
This is our most popular package with international customers, and includes: -
Exception of certain life policies from chargeable events legislation
2. - (1) Amend section 539 as follows.
(2) In subsection (2) (exception for certain policies of life insurance) at the end of paragraph (c) insert "; or
(d) to any policy of life insurance held in connection with a personal pension scheme, within the meaning of Chapter IV of Part XIV, for the time being approved under that Chapter".
(3) This paragraph has effect for the year 2000-01 and subsequent years of assessment.
No charge to tax under section 591C on conversion under Schedule 23ZA
3. - (1) Amend section 591C as follows.
(2) In subsection (1) (charge to tax where approval of scheme ceases to have effect) after "ceases to have effect" insert "otherwise than by virtue of paragraph 3(2)(a) of Schedule 23ZA".
Definition of "retirement benefits scheme"
4. - (1) Amend section 611 as follows.
(2) In subsection (1) (which defines "retirement benefits scheme" for the purposes of Chapter I and specifies certain schemes which are excluded) after "but does not include" insert "(a)" and at the end add "; or
(b) any scheme providing such benefits which is an approved personal pension scheme under Chapter IV of this Part".
(3) In subsection (3) (power to treat retirement benefits scheme as two or more separate such schemes for the purposes of Chapter I)-
(a) omit "retirement benefits" in both places; and
(b) after "for the purposes of this Chapter" insert "and Chapter IV of this Part".
(4) In subsection (4)(a) (classes or descriptions of employees with different employers) for "employees" substitute "scheme members".
(5) In subsection (6) (definition of "scheme member") at the end of paragraph (b) add "; or
(c) if the scheme is an approved personal pension scheme under Chapter IV of this Part, any other person who is a member of the scheme.".
Interpretation of Chapter IV of Part XIV
5. - (1) Amend section 630 as follows.
(2) In subsection (1) (definitions) in the definition of "approved"-
(a) in paragraph (a) (approved schemes), after "scheme" insert "(other than an approved retirement benefits scheme)"; and
(b) in paragraph (b) (approved arrangements), after "means" insert "(i)" and at the end of the sub-paragraph so formed add "; or
(ii) made in accordance with a scheme which is for the time being an approved converted scheme but which was, when the arrangements were made, an approved retirement benefits scheme;".
(3) In subsection (1), in the definition of "pension date" after "means" insert "(subject to section 638ZA)".
(4) Insert the following definitions at the appropriate places in subsection (1)-
(a) ""approved converted scheme" means an approved personal pension scheme which is such a scheme by virtue of paragraph 3(2)(b) of Schedule 23ZA;";
(b) ""approved retirement benefits scheme" means a retirement benefits scheme approved under Chapter I of this Part;";
(c) ""the earnings threshold" for any year of assessment is £3,600;";
(d) ""higher level contributions", in the case of any year of assessment, means contributions in excess of the earnings threshold for the year;";
(e) ""the personal pension fund", in the case of any personal pension arrangement and an individual, means the accrued rights to which the individual is entitled conferring prospective entitlement to benefits under the arrangement;";
(f) ""retirement benefits scheme" has the same meaning as in Chapter I of this Part (see section 611);".
(5) After subsection (1) insert-
"(1A) The Treasury may by order amend the definition of "the earnings threshold" in subsection (1) above for any year of assessment by varying the amount there specified.".
(6) In subsection (2) (annual amount of annuity which would have been purchasable)-
(a) in paragraph (a), for the words from "fund" to "him" substitute "personal pension fund"; and
(b) at the end add-
"Where a lump sum falls to be paid on the date in question, the reference is to the value of the personal pension fund after allowing for that payment.".
(7) Omit subsection (3) (whose effect is reproduced by sub-paragraphs (4)(e) and (6)).
(8) Paragraphs (c) and (d) of sub-paragraph (4) have effect for the year 2001-02 and subsequent years of assessment.
Approval of personal pension schemes
6. - (1) Amend section 631 as follows.
(2) In subsection (2) (discretion to grant or refuse approval, subject to restrictions in sections 632 to 638A) after "638A" add "(and, where applicable, Schedule 23ZA)".
(3) After subsection (2) insert-
"(2A) An application for approval of a personal pension scheme may, if the Board think fit, be granted subject to conditions.".
(4) In subsection (3) (notice of grant or refusal of an application) after "and" insert-
"(a) in the case of a grant subject to conditions, the notice shall state that the grant is so subject and shall specify the conditions; and
(b) ".
(5) Sub-paragraphs (3) and (4) have effect in relation to applications for approval granted on or after 6th April 2001.
Conversion of certain approved retirement benefits schemes
7. After section 631 insert-
"Conversion of certain approved retirement benefits schemes.
631A. Schedule 23ZA to this Act (which makes provision for or in connection with the conversion of certain retirement benefits schemes approved under Chapter I of this Part into personal pension schemes approved under this Chapter) shall have effect.".
Eligibility to make contributions
8. - (1) After section 632 insert-
"Eligibility to make contributions.
632A. - (1) The Board shall not approve a personal pension scheme if it permits, in relation to arrangements made by a member in accordance with the scheme, the acceptance of-
(a) contributions by the member, or
(b) contributions by an employer of the member,
at a time when the member is not eligible to make contributions.
(2) The Board shall not approve a personal pension scheme unless it makes provision for ensuring, in relation to any such arrangements, that any contributions accepted at a time when the member is not eligible to make contributions are repaid-
(a) to the member, to the extent of his contributions; and
(b) as to the remainder, to his employer.
(3) The following provisions of this section, and the provisions of section 632B, have effect for determining for the purposes of subsections (1) and (2) above the times at which a member is eligible to make contributions (and, for those purposes, a member is not eligible to make contributions at any other time).
(4) A member is eligible to make contributions at any time during a year of assessment for which he has actual net relevant earnings.
(5) A member who does not have actual net relevant earnings for a year of assessment ("the relevant year") is eligible to make contributions at any time during that year if-
(a) for at least some part of the year he does not hold an office or employment to which section 645 applies; and
(b) the condition in any of subsections (6) to (9) below is satisfied.
(6) Condition A is that at some time in the relevant year the member is resident and ordinarily resident in the United Kingdom.
(7) Condition B is that the member-
(a) at some time during the five years of assessment preceding the relevant year, has been resident and ordinarily resident in the United Kingdom; and
(b) was resident and ordinarily resident in the United Kingdom when he made the personal pension arrangements in question.
(8) Condition C is that at some time in the relevant year the member is a person who performs duties which, by virtue of section 132(4)(a), are treated as being performed in the United Kingdom.
(9) Condition D is that at some time in the relevant year the member is the spouse of a person who performs such duties as are mentioned in subsection (8) above.
Eligibility to make contributions: concurrent membership.
632B. - (1) A member who would not, apart from this section, be eligible to make contributions during a year of assessment shall be eligible to make contributions at any time during that year if-
(a) throughout the year he holds an office or employment to which section 645 applies;
(b) the condition in any of subsections (6) to (9) of section 632A is satisfied in his case as respects the year;
(c) he is not, and has not been, a controlling director of a company at any time in the year or in any of the five years of assessment preceding it;
(d) for at least one of the five years of assessment preceding the year, the aggregate of his grossed-up remuneration from each office and each employment held on 5th April in that preceding year does not exceed the remuneration limit for the relevant year; and
(e) the total relevant contributions made in the year do not exceed the earnings threshold for the year.
(2) For the purposes of paragraphs (c) and (d) of subsection (1) above, no account shall be taken of any year of assessment earlier than the year 2000-01.
(3) For the purposes of paragraph (c) of subsection (1) above, a person is a controlling director of a company at any time if at that time-
(a) he is a director, as defined by section 612(1); and
(b) he is within paragraph (b) of section 417(5) in relation to the company.
(4) For the purposes of paragraph (d) of subsection (1) above-
(a) "grossed up", in relation to a person's remuneration from an office or employment, means increased by being multiplied by a figure determined in accordance with an order made by the Treasury (or left unchanged, if that figure is unity);
(b) "remuneration" shall be construed in accordance with an order made by the Treasury;
(c) "the remuneration limit" for any year of assessment is £30,000;
(d) "the relevant year" means the year of assessment first mentioned in subsection (1) above.
The Treasury may by order amend the definition of "the remuneration limit" in paragraph (c) above for any year of assessment by varying the amount there specified.
(5) For the purposes of paragraph (e) of subsection (1) above and the following provisions of this section, "the total relevant contributions", in the case of a year of assessment, means the aggregate amount of the contributions made in the year-
(a) by the member in question, and
(b) by any employer of his,
under arrangements made by the member under the scheme in question, together with the aggregate amounts of such contributions under other approved personal pension arrangements made by that member.
(6) If-
(a) in the case of a member, the total relevant contributions in a year of assessment, apart from this subsection, exceed the earnings threshold for the year, and
(b) but for that, the member would be eligible to make contributions by virtue of subsection (1) above at any time in that year,
the repayment required by subsection (2) of section 632A is repayment of the relevant excess contributions only (so that the condition in subsection (1)(e) above becomes satisfied).
(7) In subsection (6) above "the relevant excess contributions" means-
(a) to the extent that a contribution is the first which caused the total relevant contributions in the year to exceed the earnings threshold for the year, that contribution; and
(b) all subsequent contributions in the year.
(8) The Treasury may by order make provision requiring any person who claims to be eligible to make contributions by virtue of this section to provide to-
(a) the Board,
(b) an officer of the Board, or
(c) the scheme administrator of the personal pension scheme concerned,
such declarations, certificates or other evidence in support of the claim as may be specified or described in, or determined in accordance with, the order.
(9) A person shall only be eligible to make contributions by virtue of this section in a year of assessment if he complies with any requirements imposed by order under subsection (8) above.".
(2) This paragraph has effect on and after 6th April 2001.
Insurance against risks relating to non-payment of contributions
9. - (1) Amend section 633 (benefits allowed to be provided by approved schemes) as follows.
(2) Omit subsection (2) (approval of schemes making provision for insurance against certain risks not to be prevented by subsection (1)).
(3) This paragraph has effect in relation to insurance under a contract of insurance made on or after 6th April 2001.
Income withdrawals: the relevant date
10. - (1) Amend section 634A as follows.
(2) In subsection (4) (which, for each successive period of twelve months beginning with the member's pension date, imposes limits on income withdrawals by reference to the annual amount of the annuity purchasable on the relevant reference date)-
(a) for "beginning with his pension date" substitute "in each valuation period"; and
(b) for "on the relevant reference date" substitute-
"(a) in the case of the initial period, on the relevant reference date; and
(b) in the case of any subsequent valuation period, on a particular day in the period of sixty days ending with the relevant reference date".
(3) For subsection (5) (the relevant reference date) substitute-
"(5) For the purposes of this section, in the case of any arrangements the relevant reference date-
(a) for the period beginning with the member's pension date ("the initial period"), is that pension date; and
(b) for each succeeding period, is the first day of the period;
and, subject to subsection (5D) below, any period mentioned in paragraph (a) or (b) above (a "valuation period") is a period of three years.".
(4) After subsection (5) insert-
"(5A) Where-
(a) a member has made an election under subsection (1) above in respect of two or more personal pension arrangements under the same personal pension scheme, and
(b) in the case of one or more of those arrangements, the relevant reference date for any valuation period after the initial period would not, apart from this subsection, coincide with a date which is (or, but for the ending of the period of deferral, would be) the relevant reference date for a valuation period in the case of the arrangements with the earliest pension date,
the relevant reference date for any valuation period other than the initial period, and the valuation period to which that date relates, shall, if the scheme or the arrangements so require, be determined in the case of all those arrangements on the assumption that the pension date is in each case the same as in the case of the arrangements with the earliest pension date.
(5B) In determining in accordance with subsection (5A) above the relevant reference date and the valuation period to which it relates, in the case of any arrangements ("the relevant arrangements"), there shall be left out of account any arrangements in whose case the period of deferral ended-
(a) before the actual pension date in the case of the relevant arrangements; or
(b) before the date on which the relevant arrangements first become subject to such a requirement as is mentioned in subsection (5A) above.
(5C) But where, in the case of any arrangements,-
(a) the relevant reference date for any valuation period falls to be determined, in accordance with the assumption in subsection (5A) above, by reference to the pension date for any other arrangements, and
(b) the period of deferral in the case of those other arrangements comes to an end,
the same pension date shall continue to be assumed under that subsection for that and any subsequent valuation period, notwithstanding the coming to an end of the period of deferral in the case of those other arrangements (and references in subsection (5A) to the arrangements with the earliest pension date shall be construed accordingly).
(5D) Where, in the case of any personal pension arrangements, in consequence of subsection (5A) above the relevant reference date for any valuation period ("the later date") falls less than three years after the relevant reference date for the previous valuation period ("the earlier date")-
(a) the valuation period beginning with the earlier date shall end with the day before the later date; and
(b) subsection (4) above shall apply in relation to any portion of the period which remains after the completion of any successive periods of twelve months as if it were a period of twelve months.".
(5) Sub-paragraphs (2)(a) and (3) have effect on and after 1st October 2000.
(6) Sub-paragraphs (2)(b) and (4) have effect in relation to personal pension arrangements-
(a) under any personal pension scheme to which approval under Chapter IV of Part XIV of the Taxes Act 1988 is given on or after 1st October 2000; or
(b) under any existing approved scheme amended on or after that date, with the approval of the Board under that Chapter, for the purpose of-
(i) conforming to the amendment made by sub-paragraph (2)(b), or
(ii) imposing such a requirement as is mentioned in the subsection (5A) inserted by sub-paragraph (4),
as the case may be.
(7) In this paragraph "existing approved scheme" means a personal pension scheme approved under Chapter IV of Part XIV of the Taxes Act 1988 before 1st October 2000.
Income withdrawals: purchase of two or more annuities
11. - (1) Amend section 634A as follows.
(2) After subsection (1) insert-
"(1A) The Board shall not refuse to approve a personal pension scheme by reason only that it makes provision for arrangements under the scheme which enable a member who makes such an election as is mentioned in subsection (1) above to apply different parts of the personal pension fund at different times in the purchase of different annuities satisfying the conditions in section 634 (whether commencing on the same day or on different days).".
(3) In subsection (4) (which regulates income withdrawals by reference to the annual amount of the annuity purchasable on the relevant reference date etc) in paragraph (b) (which is inserted by paragraph 10(2)(b))-
(a) after "in the case of any subsequent valuation period," insert "(i)"; and
(b) at the end add", or
(ii) immediately after the last qualifying annuitisation,
whichever is the later".
(4) After subsection (4) insert-
"(4A) For the purposes of subsection (4) above-
(a) "annuitisation" means the application of part of the personal pension fund in the purchase of an annuity satisfying the conditions in section 634; and
(b) an annuitisation is a "qualifying annuitisation", in relation to any such period of twelve months as is mentioned in subsection (4) above, if it has taken place-
(i) in an earlier such period, but
(ii) since the relevant reference date.".
(5) In subsection (5D) (which is inserted by paragraph 10) in paragraph (b), for "subsection (4)" substitute "subsections (4) and (4A)".
(6) This paragraph has effect on and after 6th April 2001.
Income withdrawals after death of member
12. - (1) Amend section 636A as follows.
(2) After subsection (1) insert-
"(1A) The Board shall not refuse to approve a personal pension scheme by reason only that it makes provision for arrangements under the scheme which enable a person who makes such an election as is mentioned in subsection (1) above to apply different parts of the personal pension fund at different times in the purchase of different annuities satisfying the conditions in section 636 (whether commencing on the same day or on different days).".
(3) In subsection (5) (which regulates income withdrawals by reference to the annual amount of the annuity purchasable on the relevant reference date) for "on the relevant reference date" substitute-
"(a) in the case of the first period of three years, on the relevant reference date; and
(b) in the case of any succeeding period of three years, on a particular day in the period of sixty days ending with the relevant reference date".
(4) In subsection (5) (as so amended) in paragraph (b)-
(a) after "three years," insert "(i)"; and
(b) at the end add", or
(ii) immediately after the last qualifying annuitisation,
whichever is the later".
(5) After subsection (5) insert-
"(5A) For the purposes of subsection (5) above-
(a) "annuitisation" means the application of part of the personal pension fund in the purchase of an annuity satisfying the conditions in section 636; and
(b) an annuitisation is a "qualifying annuitisation", in relation to any such period of twelve months as is mentioned in subsection (5) above, if it has taken place-
(i) in an earlier such period, but
(ii) since the relevant reference date.".
(6) Sub-paragraph (3), and sub-paragraph (1) so far as relating to that sub-paragraph, have effect on and after 1st October 2000.
(7) The other provisions of this paragraph have effect on and after 6th April 2001.
Other restrictions on approval
13. - (1) Amend section 638 as follows.
(2) In subsection (3)(a) (limit on aggregate contributions in any year) after "does not exceed" insert "the earnings threshold for that year or, if greater,"
(3) In subsection (4) (the permitted maximum) omit-
(a) in the words preceding paragraph (a), "the aggregate of";
(b) paragraph (b) (which refers to relief by virtue of section 642, abolished by this Schedule); and
(c) the word "and" immediately preceding that paragraph.
(4) After subsection (7A) (prohibition of contributions or transfer payments after pension date) insert-
"(7B) Subsection (7A) above shall have effect subject to and in accordance with section 638ZA.".
(5) After subsection (8) add-
"(9) The Board may only approve a personal pension scheme if it prohibits the acceptance of contributions in any form other than-
(a) the payment of monetary sums; or
(b) the transfer, subject to the conditions in subsection (12) below, of eligible shares in a company;
and any reference in this Chapter to the payment of contributions includes a reference to the making of contributions in accordance with paragraph (b) above.
(10) For the purposes of this Chapter, the amount of a contribution made by way of a transfer of shares shall be the aggregate market value of the shares at the date of the transfer.
(11) For the purposes of subsection (9)(b) above, "eligible shares" means shares-
(a) which the member has exercised the right to acquire, or
(b) which have been appropriated to the member,
in accordance with the provisions of a savings-related share option scheme, an approved profit-sharing scheme or an employee share ownership plan.
(12) The conditions mentioned in subsection (9)(b) above are-
(a) in relation to shares which the member has exercised his right to acquire in accordance with the provisions of a savings-related share option scheme, that the transfer of the shares as contributions under the personal pension scheme takes place before the expiry of the period of 90 days following the exercise of that right;
(b) in relation to shares appropriated to the member in accordance with the provisions of an approved profit-sharing scheme or an employee share ownership plan, that the transfer of the shares as contributions under the personal pension scheme takes place before the expiry of the period of 90 days following the date when the member directed the trustees of the approved profit-sharing scheme or employee share ownership plan to transfer the ownership of the shares to him or, if earlier, the release date in relation to the shares.
(13) In this section-
"approved profit-sharing scheme" has the same meaning as in section 186;
"employee share ownership plan" has the same meaning as in Schedule 8 to the Finance Act 2000;
"market value" shall be construed in accordance with section 272 of the Taxation of Chargeable Gains Act 1992;
"savings-related share option scheme" has the same meaning as in Schedule 9 (see paragraph 1(1) of that Schedule).".
(6) Sub-paragraph (2) has effect for the year 2001-02 and subsequent years of assessment.
(7) Sub-paragraph (3) has effect in relation to contributions paid in the year 2001-02 or any subsequent year of assessment.
(8) Sub-paragraph (5) has effect in relation to contributions in the year 2001-02 or any subsequent year of assessment.
Multiple pension dates etc
14. - (1) After section 638 insert-
"Personal pension arrangements with more than one pension date etc.
638ZA. - (1) This section applies where a personal pension scheme makes provision for a personal pension arrangement under the scheme to make provision-
(a) for the payment of more than one annuity satisfying the conditions in section 634 or 636 (a "qualifying annuity") and for different such annuities to commence, or be capable of commencing, on different days;
(b) for elections such as are mentioned in section 634A(1) or 636A(1) ("elections for deferral") to be capable of being made at different times in relation to different portions of the personal pension fund; and
(c) for a qualifying lump sum to be payable in connection with-
(i) each qualifying annuity (other than one purchased pursuant to section 634A, 636 or 636A); and
(ii) each election for deferral such as is mentioned in section 634A(1).
(2) The Board shall not refuse to approve a personal pension scheme by reason only that it makes such provision as is mentioned in subsection (1) above if they are satisfied that it makes provision in conformity with the provisions of this section.
(3) In this section-
"income withdrawal fund" means a portion of the personal pension fund which is specified or described in an election for deferral as the portion of that fund to which the election relates;
"qualifying lump sum" means a lump sum satisfying the conditions of section 635 (as that section has effect by virtue of and in accordance with this section);
"the relevant date", in relation to any qualifying annuity or election for deferral, means the date determined in accordance with the arrangement on which-
(a) the qualifying annuity commences; or
(b) the member makes the election for deferral.
(4) In the application of section 635 in relation to a qualifying lump sum, for the condition in subsection (3) there shall be substituted the conditions in subsections (5) and (6) below (as read with subsection (7) below).
(5) The first condition is that the lump sum must not exceed one-third of-
(a) the difference between-
(i) the value of the portion of the personal pension fund applied in the provision of the qualifying annuity in connection with which the lump sum is paid, determined as at the date on which that portion is so applied, and
(ii) the value, determined as at that date, of so much of that portion as represents protected rights, or
(b) the value, as at the relevant date, of the income withdrawal fund which relates to the election for deferral in connection with it is paid,
as the case may be.
(6) The second condition is that the lump sum must not represent any of the value, at the time when the lump sum is paid, of any protected rights.
(7) In subsections (5) and (6) above, "protected rights" means any of the member's rights under the personal pension arrangement which are protected rights for the purposes of the Pension Schemes Act 1993 or the Pension Schemes (Northern Ireland) Act 1993.
(8) Where a qualifying annuity commences, this Chapter and the personal pension scheme concerned shall have effect, as from the relevant date, as if there had been a separate personal pension arrangement and-
(a) the annuity, and any qualifying lump sum payable in connection with it, were benefits provided for by that separate arrangement (instead of by the personal pension arrangement by which it was actually provided (in this subsection referred to as "the relevant arrangement"));
(b) the portion of the personal pension fund applied in the provision of the annuity, together with the amount of any qualifying lump sum payable in connection with the annuity, had been the personal pension fund in the case of that separate arrangement (and were excluded from the personal pension fund in the case of the relevant arrangement);
(c) any election for the annuity, or for such a qualifying lump sum, had been made under that separate arrangement (instead of under the relevant arrangement); and
(d) except in the case of an annuity satisfying the conditions in section 636, the relevant date were the pension date in relation to that separate arrangement (and were not, by reference to that annuity, the pension date in relation to the relevant arrangement).
(9) Where, in the case of any personal pension arrangement (in this subsection referred to as "the relevant arrangement"), an election for deferral is made, this Chapter and the personal pension scheme concerned shall have effect, as from the relevant date, as if there had been, and continued to be, a separate personal pension arrangement and-
(a) the income withdrawal fund which relates to the election, together with the amount of any qualifying lump sum payable in connection with the election, had been the personal pension fund in the case of that separate arrangement (and were excluded from the personal pension fund in the case of the relevant arrangement);
(b) the election for deferral, and any election for such a qualifying lump sum, had been made under that separate arrangement (instead of under the relevant arrangement);
(c) the election for deferral had been made in respect of the whole of the income withdrawal fund which relates to the election; and
(d) except in the case of an election such as is mentioned in section 636A(1), the relevant date were the pension date in relation to that separate arrangement (and were not, by reference to that election, the pension date in relation to the relevant arrangement).".
(2) This paragraph has effect on and after 6th April 2001.
Tax relief on member's contributions
15. - (1) Amend section 639 as follows.
(2) For subsections (1) and (2) substitute-
"(1) An individual who pays a contribution under approved personal pension arrangements made by him shall be entitled to relief under this section in respect of the contribution.
(1A) Subsection (1) above is subject to the other provisions of this Chapter.
(1B) The total amount of contributions in respect of which relief may be given to an individual under this section for any year of assessment must not exceed-
(a) the permitted maximum for the year, as defined in section 638(4), or
(b) the earnings threshold for the year,
whichever is the greater.
(2) Any relief under this section shall be given in accordance with-
(a) subsections (3) and (4) below, and
(b) where applicable, subsection (5A) below.
(2A) Relief in accordance with subsections (3) and (4) below shall be subject to such conditions as the Board may prescribe in regulations.".
(3) For subsection (3) substitute-
"(3) An individual who is entitled to relief under this section in respect of a contribution shall be entitled, on making the payment, to deduct and retain out of it a sum equal to income tax on the contribution at the basic rate for the year of assessment in which the payment is made.".
(4) For subsection (4) substitute-
"(4) Where a sum is deducted under subsection (3) above from a contribution-
(a) the scheme administrator shall allow the deduction on receipt of the residue;
(b) the individual paying the contribution shall be acquitted and discharged of so much money as is represented by the deduction as if the sum had been actually paid; and
(c) the sum deducted shall be treated as income tax paid by the scheme administrator.".
(5) After subsection (4) insert-
"(4A) Where payment of a contribution under approved personal pension arrangements is received-
(a) the scheme administrator shall be entitled to recover from the Board, in accordance with regulations, an amount which by virtue of subsection (4)(c) above is treated as income tax paid by him; and
(b) any amount so recovered shall be treated for the purposes of the Tax Acts in like manner as the payment of the contribution to which it relates.".
(6) In subsection (5) (regulations for carrying subsections (3) and (4) into effect)-
(a) for "(3) and (4)" substitute "(3) to (4A)"; and
(b) in paragraph (a), for "(4)(b)" substitute "(4A)(a)".
(7) After subsection (5) insert-
"(5A) Where-
(a) an individual is entitled to relief under this section in respect of contributions paid in any year of assessment, and
(b) apart from this subsection, income tax at the higher rate is chargeable in respect of any part of his total income for the year,
the basic rate limit for that year shall in his case be increased by the addition of the amount of the contributions in respect of which he is entitled to relief under this section.
(5B) Relief in accordance with subsection (5A) above shall be given only on a claim made for the purpose.".
(8) In subsection (7) (relief not to be given under section 639 and any other provision of the Income Tax Acts in respect of same contribution) for "under this section is claimed and allowed" substitute "is given under this section".
(9) This paragraph has effect in relation to contributions paid in the year 2001-02 or any subsequent year of assessment.
Maximum amount of deductions
16. - (1) Amend section 640 as follows.
(2) In subsection (1) (maximum deduction or set off under section 639(1) to be 17.5 per cent. of net relevant earnings)-
(a) for "that may be deducted or set off" substitute "of contributions in respect of which relief may be given"; and
(b) after "shall be" insert-
"(a) an amount equal to the earnings threshold for that year; or
(b) if greater,".
(3) Amend subsection (3) (limitation on deduction or set off of certain life assurance contributions) in accordance with sub-paragraphs (4) and (5).
(4) For the words from the beginning to "section 637" substitute-
"(3) Without prejudice to subsection (1) above, where any contributions are paid in a year of assessment by an individual to secure benefits satisfying the conditions in section 637, the maximum amount of those contributions in respect of which relief may be given by virtue of section 639(1)".
(5) For "shall be 5 per cent. of the individual's net relevant earnings for that year" substitute "shall be an amount equal to 10 per cent. of the aggregate amount of the relevant pension contributions made in that year by the individual and an employer of his".
(6) After subsection (3) insert-
"(3A) In subsection (3) above "relevant pension contribution" means a contribution paid towards securing benefits falling within paragraph (a), (b) or (c) of section 633(1) under arrangements made under a personal pension scheme on or after 6th April 2001.".
(7) In subsection (4) (reduction of maximum deduction or set off where employer makes contributions) for "that may be deducted or set off" substitute "of contributions in respect of which relief may be given by virtue of section 639(1)".
(8) Sub-paragraphs (2), (4) and (7) have effect in relation to contributions paid in the year 2001-02 or any subsequent year of assessment.
(9) Sub-paragraphs (5) and (6) have effect in relation to contributions paid to secure benefits satisfying the conditions in section 637 of the Taxes Act 1988 where the contract of life assurance concerned is made on or after 6th April 2001.
Carry-back of contributions
17. No election shall be made under section 641 in respect of contributions paid on or after 6th April 2001.
Election for contributions to be treated as paid in previous year
18. - (1) After section 641 insert-
"Election for contributions to be treated as paid in previous year.
641A. - (1) A person who pays a contribution under approved personal pension arrangements on or before the 31st January in any year of assessment may, at or before the time when he pays the contribution, irrevocably elect that the contribution, or part of it, shall be treated as paid in the preceding year of assessment.
(2) Where an election is made under this section in respect of a contribution or part of a contribution, the other provisions of this Chapter shall have effect as if the contribution or part had been paid in the year specified in the election and not in the year in which it was actually paid.".
(2) This paragraph has effect in relation to contributions paid in the year 2001-02 or any subsequent year of assessment.
Abolition of carry-forward of relief
19. No relief shall be given by virtue of section 642 (carry-forward of relief) in the year 2001-02 or any subsequent year of assessment.
Earnings from pensionable employment
20. - (1) Amend section 645 as follows.
(2) In subsection (3) (definition of "a relevant superannuation scheme") omit the word "and" immediately preceding paragraph (c) and at the end of that paragraph add"; and
(d) which is not an approved converted scheme".
Meaning of "net relevant earnings"
21. - (1) Amend section 646 as follows.
(2) In subsection (5) (cases where the whole or part of a deduction under subsection (2)(d) falls to be made from income other than relevant earnings) for "an amount is deducted or set off under section 639(1) against the net relevant earnings" substitute "the basic rate limit is increased in accordance with section 639(5A) in the case".
(3) In subsection (6) (reduction of net relevant earnings in subsequent years) for "under section 639(1)" substitute "in accordance with section 639(5A)".
(4) Omit subsection (7) (net relevant earnings to be computed without regard to any deduction or set off under section 639(1)).
(5) This paragraph has effect for the year 2001-02 and subsequent years of assessment.
Presumption of same level of relevant earnings etc for 5 years
22. - (1) After section 646A insert-
"Presumption of same level of relevant earnings etc for 5 years.
646B. - (1) This section applies where an individual (the "relevant member") who is or becomes a member of a personal pension scheme provides to the scheme administrator the requisite evidence of the relevant amounts for any year of assessment (the "basis year").
(2) For the purposes of this section, the "relevant amounts" for any year of assessment are the amounts which need to be known in order to calculate the relevant member's net relevant earnings for that year.
(3) The basis year need not be a year of assessment in which the relevant member is a member of the personal pension scheme concerned.
(4) Where this section applies, it shall be presumed for the purposes of this Chapter in the case of the relevant member and the personal pension scheme concerned that, for each of the five years of assessment following the basis year, the relevant amounts (and, accordingly, the relevant member's net relevant earnings) are the same as for the basis year.
(5) Subsection (4) above is subject to-
(a) subsections (6) to (9) below; and
(b) such conditions or exceptions as may be prescribed.
(6) For the purposes of this section, the requisite evidence provided for a later basis year (the "later basis year") supersedes the requisite evidence provided for an earlier basis year (the "earlier basis year").
(7) Subsection (6) above has effect subject to, and in accordance with, subsections (8) and (9) below.
(8) If-
(a) the actual net relevant earnings for the later basis year,
exceed
(b) the actual net relevant earnings for the earlier basis year,
the supersession effected by subsection (6) above has effect as respects the later basis year and subsequent years of assessment (and subsection (4) above applies accordingly).
(9) Where the condition in subsection (8) above is not satisfied, the supersession effected by subsection (6) above has effect only as respects years of assessment later than the last of the five years of assessment following the earlier basis year (and subsection (4) above applies accordingly).
(10) It is immaterial for the purposes of this section whether the requisite evidence for a later year of assessment is provided before or after, or at the same time as, the requisite evidence for an earlier year of assessment.
(11) This section is subject to section 646D.
Provisions supplementary to section 646B.
646C. - (1) In this section and section 646B, "requisite evidence" means evidence-
(a) of such a description as may be prescribed;
(b) in such form as may be prescribed; and
(c) satisfying such conditions as may be prescribed.
(2) Regulations may make further provision in connection with requisite evidence.
(3) The provision that may be made by regulations under subsection (2) above includes provision for or in connection with the provision, use, retention, production or inspection of, or of copies of,-
(a) requisite evidence;
(b) books, documents or other records relating to any requisite evidence; or
(c) extracts from requisite evidence or from such books, documents or other records.
(4) Any power to make regulations under this section or section 646B includes power to make different provision for different cases or different purposes.
(5) In this section and section 646B-
"prescribed" means specified in or determined in accordance with regulations;
"regulations" means regulations made by the Board.".
(2) Sub-paragraph (1) above has effect in relation to presumptions for the year 2001-02 and subsequent years of assessment.
Higher level contributions after cessation of actual relevant earnings: modification of section 646B
23. - (1) After section 646C insert-
"Higher level contributions after cessation of actual relevant earnings: modification of section 646B.
646D. - (1) This section applies where a member of a personal pension scheme-
(a) has no actual relevant earnings in a year of assessment (the "break year"); but
(b) had actual relevant earnings in the preceding year of assessment (the "cessation year"); and
(c) was entitled to make higher level contributions under arrangements under the scheme in any one or more of the six years of assessment preceding the break year (the "reference years").
(2) In the application of the presumption in subsection (4) of section 646B for any qualifying post-cessation year, in a case where this section applies, the basis year may be any one of the reference years for which the member provides or has provided the requisite evidence-
(a) notwithstanding anything in subsections (6) to (9) of that section; and
(b) whether or not the qualifying post-cessation year is included among the five years of assessment following the basis year.
(3) If the member provides or has provided the requisite evidence for two or more of the reference years, he may by notice in writing to the scheme administrator nominate that one of those years which is to be the basis year by virtue of subsection (2) above.
(4) In this section "post-cessation year", in the case of the member concerned, means any of the five years of assessment following the cessation year.
(5) For the purposes of this section any post-cessation year is a "qualifying" post-cessation year unless-
(a) it is a year for which the member has any actual relevant earnings;
(b) it is a year throughout which the member holds an office or employment to which section 645 applies; or
(c) it immediately follows a post-cessation year which is not a qualifying post-cessation year.
(6) Subsection (5) above is without prejudice to the further application of this section in relation to the member if the conditions in subsection (1) above are again fulfilled.
(7) In this section-
"the basis year" shall be construed in accordance with section 646B;
"the requisite evidence" has the same meaning as in that section.".
(2) This paragraph has effect where the break year is the year 2001-02 or any subsequent year of assessment.
Appeals
24. - (1) Amend section 651 as follows.
(2) In subsection (1)(a) (appeal against refusal of application under section 631) after "section 631" insert "or paragraph 3 of Schedule 23ZA".
Old transitional provisions
25. - (1) Amend section 655 as follows.
(2) In subsection (1)(a) (reduction of relief under section 639 where relief is given for certain qualifying premiums) for "that may be deducted or set off" substitute "of contributions in respect of which relief may be given".
(3) This paragraph has effect for the year 2001-02 and subsequent years of assessment.
Benefits under approved pension arrangements not to be income of settlor
26. - (1) Amend section 660A (income arising under settlement where settlor retains an interest) as follows.
(2) Omit subsection (7) (irrevocable allocation of certain pension rights between spouses not to be regarded as settlement).
(3) In subsection (9) (descriptions of income to which subsection (1) does not apply) at the end of paragraph (b) add"; or
(c) a benefit under an approved pension arrangement".
(4) After subsection (10) add-
"(11) In this section "approved pension arrangement" means-
(a) an approved scheme or exempt approved scheme;
(b) a relevant statutory scheme;
(c) a retirement benefits scheme set up by a government outside the United Kingdom for the benefit, or primarily for the benefit, of its employees;
(d) a contract or scheme which is approved under Chapter III of Part XIV (retirement annuities);
(e) a personal pension scheme which is approved under Chapter IV of that Part;
(f) an annuity purchased for the purpose of giving effect to rights under a scheme falling within any of paragraphs (a) to (c) and (e) above;
(g) any pension arrangements of any description which may be prescribed by regulations made by the Secretary of State.
(12) In subsection (11) above "approved scheme", "exempt approved scheme", "relevant statutory scheme" and "retirement benefits scheme" have the same meaning as in Chapter I of Part XIV.".
(5) This paragraph has effect for the year 2001-02 and subsequent years of assessment.
Conversion of certain approved retirement benefits schemes
27. After Schedule 23 insert-
"SCHEDULE 23ZA
CONVERSION OF CERTAIN APPROVED RETIREMENT BENEFITS SCHEMES
Interpretation
1. - (1) In this Schedule-
"the date of the change" shall be construed in accordance with paragraph 3(2) below;
"eligible scheme" shall be construed in accordance with paragraph 2(4) below;
"the personal pension provisions of this Act" means this Schedule and the other provisions of Chapter IV of Part XIV;
"prescribed" (except in paragraph 2(3)(c)) means specified in, or determined in accordance with, regulations;
"regulations" means regulations made by the Board.
(2) Any power conferred by this Schedule to make regulations includes power to make different provision for different cases or different purposes.
Eligible schemes
2. - (1) This Schedule applies to any retirement benefits scheme which is for the time being approved under Chapter I of Part XIV.
(2) Sub-paragraph (1) above is subject to the following provisions of this paragraph.
(3) This Schedule applies to a retirement benefits scheme only if-
(a) it is an occupational pension scheme, as defined in section 1 of the Pension Schemes Act 1993 or section 1 of the Pensions Schemes (Northern Ireland) Act 1993;
(b) it is a money-purchase scheme, as defined in section 181 of the Pension Schemes Act 1993 or section 176 of the Pensions Schemes (Northern Ireland) Act 1993;
(c) any documents relating to the scheme which are prescribed under section 631(1) are such that, subject to approval under paragraph 3 below, the scheme is capable of being an approved personal pension scheme for the purposes of Chapter IV of Part XIV as from the date of the change; and
(d) such other conditions as may be prescribed are satisfied in the case of the scheme.
(4) Any retirement benefits scheme to which this Schedule applies is referred to in this Schedule as an "eligible scheme".
Approval of eligible schemes as approved personal pension schemes
3. - (1) The trustees of an eligible scheme may at any time on or after 1st October 2000 apply to the Board for approval of the scheme under this paragraph.
(2) If an application under sub-paragraph (1) above is granted, the eligible scheme shall, as from such date as the Board may specify in granting the application (the "date of the change"),-
(a) irrevocably cease to be approved, and to be capable of approval, under Chapter I of Part XIV; and
(b) become an approved personal pension scheme (and subject accordingly to section 631(4) and the other provisions of Chapter IV of Part XIV).
(3) The date of the change must not be earlier than 6th April 2001.
(4) An application under sub-paragraph (1) above shall be in such form, shall contain such information, and shall be accompanied by such documents, in such form, and prepared as at such time, as the Board may prescribe.
(5) The Board may at their discretion grant or refuse an application under sub-paragraph (1) above.
(6) The Board's discretion under sub-paragraph (5) above shall be subject to the restrictions set out in sections 632 to 638A and this Schedule.
(7) The Board shall give notice to the applicant of the grant or refusal of an application.
(8) A notice under sub-paragraph (7) above shall, in the case of a refusal, state the grounds for the refusal.
(9) If, at any time after the making of an application under sub-paragraph (1) above, the eligible scheme concerned ceases to be approved under Chapter I of Part XIV otherwise than by virtue of the operation of sub-paragraph (2)(a) above, the scheme shall not, by virtue of that application, become an approved personal pension scheme.
Excessive funding of certain individual members
4. - (1) The Board may refuse or withhold approval under paragraph 3 above in the case of an eligible scheme of a prescribed description if or so long as they are not satisfied that prescribed requirements will be fulfilled with respect to-
(a) the value of any prescribed benefits which may be provided for or in respect of an individual member of a prescribed description, and
(b) the value of the assets held for the purpose of providing benefits for or in respect of that member,
if approval under paragraph 3 above is granted.
(2) Regulations may make provision for or in connection with cases where the value mentioned in paragraph (b) of sub-paragraph (1) above exceeds, or exceeds by more than a prescribed percentage, the value mentioned in paragraph (a) of that sub-paragraph.
(3) The provision that may be made by virtue of sub-paragraph (2) above includes provision for or in connection with eliminating or reducing any such excess within a prescribed period by one or more prescribed methods.
(4) Regulations may make provision for the purposes of this paragraph for or in connection with-
(a) the valuation of benefits; or
(b) the valuation of assets.
(5) The provision that may be made by virtue of sub-paragraph (4)(a) or (b) above includes provision with respect to, or in connection with,-
(a) the person by whom any such valuation is to be made;
(b) the method or principles of valuation to be used;
(c) certification of any such valuations and of any prescribed matters relating to or connected with them;
(d) any facts, matters or assumptions by reference to which any such valuation is to be made;
(e) any tables to be used for the purpose of making any such valuation;
(f) the basis on which any such tables are to be prepared;
(g) the manner in which any such tables are to be applied.
(6) The methods or principles of valuation and the tables that may be prescribed by virtue of sub-paragraph (5) above include methods or principles or, as the case may be, tables published by the Government Actuary for any purposes of the personal pension provisions of this Act.
Directions as to contributions between valuation and date of change etc.
5. - (1) The Board may give directions for or in connection with-
(a) prohibiting the making of contributions during the post-valuation period, or
(b) restricting the amount of the contributions that may be made during that period,
by or in respect of members of a converting scheme.
(2) Directions under sub-paragraph (1) above-
(a) may be given in respect of schemes generally, schemes of a particular description or any particular scheme or schemes; and
(b) may make different provision in relation to different schemes or different members.
(3) Any directions under sub-paragraph (1) above must be complied with by-
(a) the trustees and managers, or administrators, of any scheme to which the directions relate;
(b) any member of such a scheme to whom the directions relate; and
(c) any person who is the employer of such a member.
(4) If there is any contravention of, or failure to comply with, directions under sub-paragraph (1) above, the Board may-
(a) refuse or withhold approval of the conversion application in question; or
(b) revoke or vary any approval granted or any conditions pending the satisfaction of which approval is withheld.
(5) Sub-paragraph (4) above is without prejudice to any other powers of the Board.
(6) In this paragraph-
"conversion application", in the case of a converting scheme, means the application under paragraph 3(1) above in respect of the scheme;
"converting scheme" means a scheme in respect of which an application under paragraph 3(1) above has been made and not withdrawn or finally refused;
"the post-valuation period", in the case of a converting scheme, means the period which-
(a) begins with the day as at which any valuation for the purposes of paragraph 4 above is made in connection with the conversion application; and
(b) ends with the day preceding the date of the change (or, if earlier, the date on which the conversion application is withdrawn or finally refused).
(7) For the purposes of this paragraph, an application is "finally refused" when it has been refused by the Board and-
(a) the time for appealing under section 651 against the refusal has expired without such an appeal being made; or
(b) an appeal under that section against the refusal has been withdrawn or finally disposed of in a way which affirms refusal of the application.
(8) Any directions under this paragraph must be given in writing.
Scheme rules to allow changes for purpose of conversion
6. An approved retirement benefits scheme shall be taken to include provisions allowing the making of changes to any provisions of the scheme for the purpose of enabling the scheme to become an eligible scheme, notwithstanding anything to the contrary in any provision of the scheme.".
Finance Act 2000 is reproduced under the terms of Crown Copyright Policy Guidance issued by HMSO. Publishing Rights: Coddan CPM Core Licence (HMSO) number is C02W0007897 issued on 25 November 2005 by HMSO Licensing Division (Core Licence.pdf Licence to reproduce public sector information).
Check Your Order Status
