A-Day Tax Regime
The Finance Act 2004 and Finance Act 2005 contain legislation that has lead to major changes in the taxation of pensions.
The measures in the Acts, which are supplemented by a raft of regulations, took effect from 6th April 2006 (named A-Day), two years later than originally proposed.
The changes have been subject to an extensive consultation process that started in December 2002. Along the way there have been many subtle revisions of the first proposals from the Inland Revenue (now Her Majesty's Revenue & Customs - HMRC). The reforms now implemented affect both new and existing pension arrangements in many very important ways.
Whether you are within six months of collecting your pension or have several decades to go before your working life ends, you need to be aware of the changes, as they could alter the way you plan for retirement.
For further advice on the A-Day Tax Regime or to request a brochure, please contact info.financialplanning@rensburgsheppards.co.uk.