View more on these topics

Adviser says IHT ‘loophole’ could help Revenue

Adviser Smith & Williamson says an SSAS inheritance tax “loophole” would benefit tax collection.

Standard Life has accused Axa using a SSAS loophole which enables small businesses to pass on assets tax-free, and, in theory, allows family members to set up schemes to bypass IHT.
The Revenue has pledged to clamp down on any abuses.

But Smith & Williamson national head of pensions Mike Fosberry says SSAS concerns are misplaced and that clients in scheme pensions have to pay more tax than people in other forms of income drawdown.

Fosberry says, under a scheme pension, the individual has to get a known level of pension entitlement which would be subjec t to tax on payment, while under alternative forms of income drawdown, an individual is not required to take any income at all.

He says: “From the point of view of the Revenue, therefore, the scheme pension provision must be rather more attractive as it ensures collection of tax which might otherwise be deferred until some point in the future.”

Standard Life head of pensions policy John Lawson says:
“We are not asking for scheme pensions to be scrapped and we accept they are valid. But clients should be warned they might not be able to pass on residual funds without IHT.”


Pridham Report shows UK retail funds beating rest of Europe

UK investors remain positive despite retail sales volumes for the latest quarter falling by 17 per cent, according to Feri Fund Market Information.Feri’s latest UK Fund sales report, the Pridham Report, finds that UK mutual funds did not suffer the cull seen in other European markets. The UK saw an increase in repurchases during May […]

Cable in call to axe high-rate tax relief

The Liberal Democrats want to axe higher-rate pension tax relief and end forced annuitisation at age 75. In the party’s Tax Commission proposals Shadow Chancellor Vince Cable set out plans for a fundamental reform of the tax system last week under the slogan, Fairer, Simpler, Greener. Cable says it is particularly difficult to defend higher-rate […]

Advantage points

It is increasingly rare for there to be real innovation in our markets today, with replication the leading force. That is just one of the reasons to welcome Advantage’s new shared equity product – that is not what the firm calls it but that is what it does so that is what we will call it.

Capita signs outsourcing deal with Pru

Capita has signed an outsourcing agreement with Prudential to deliver a range of life and pension sales and administration services.Around 450 staff will move from Pru to Capita from the customer services, PruDirect and support services operations in Belfast. The moves will take place in early Autumn under Transfer of Undertakings (Protection of Employment) Regulations. […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm