View more on these topics

Isle of Man provider to de-register 50c Qrops after HMRC rule change

Pension provider Boal & Co will temporarily de-register its Trinity Qrops after it became clear the Isle of Man will fail to adapt its 50c legislation in time for the HM Revenue & Customs deadline next month.

Final rules published by HMRC, which will come into force on April 6, include requirements for Qrops providers to treat non-residents and residents of a jurisdiction in the same way for tax purposes.

The 50c schemes fall foul of this rule because they pay benefits to non-residents tax-free while residents are taxed.

Boal & Co managing director Gary Boal says all Isle of Man 50c schemes will now have to de-register as Qrops from April 6, although the ’Trinity’ scheme will de-register from April 4. He expects the island to adapt its 50c tax code to comply with the new Qrops rules in the next few months.

He says: “We have been forced to temporarily de-register our 50c Qrops schemes. That is because we now know for certain that from April 6, 50c will no longer pass the new Qrops test.

“This will have no implications for existing members.

“I am extremely frustrated that the Isle of Man has not got its act together quickly enough to prevent this happening.”

Association of Pension Scheme Providers deputy chairman Mark Kiernan says: “The Isle of Man finds itself in an unusual situation. The amendments which are required to make 50c meet the new HMRC regulations are minimal in nature, however some of the budget announcements made by HMRC have potentially serious undertones attached to them.

“Undoubtedly there will be a pause in service whilst we wait for clarity on these issues.”


Govt in talks with Abu Dhabi over RBS sale

The Government is reportedly in talks with Abu Dhabi sovereign wealth funds about selling part of its stake in Royal Bank of Scotland. According to a report by the BBC, the Government, which controls 82 per cent of the bank, has been negotiating with Abu Dhabi sovereign wealth funds for months. The report states the […]


FSA censures two Glasgow credit unions

The FSA has publicly censured two Glasgow based credit unions for making large loans to a non-member and making loans to directors on terms better than those available to members. Pollok Credit Union made a series of loans to a trust it had set up to manage a local post office and day-care centre. The […]

Irish Life sold to the government for £1.1bn

The Irish High Court has ordered Irish Life & Permanent to sell its life and pension subsidiary, Irish Life, to the government for £1.1bn. The sale agreement is due to take place on April 13, with formal completion of the separation of the group’s life and pension business from its banking business expected before June […]

Martin Churchill: Tax-efficient briefing

A number of VCTs have launched linked tender and enhanced buyback offers. These allow investors who are interested in committing to being invested for a further five years to effectively swap out their current holding for new shares on which they can claim the up front 30 per cent income tax relief. This is not […]


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