About QROPS
UK Pensions have traditionally been tied up in many layers of restriction & regulation; in part to protect the tax revenues of the UK by taxing income from annuities and then taking any residual value on death, and in part to stop pensioners spending all their money in the first 5-10 years of retirement and then relying on the state. The good news is that for those of us living overseas or about to move to a new life abroad, some of the restrictions have now been lifted. In April 2006 it was announced that British expatriates could move their pension benefits to a QROPS with the UK revenues approval.
A QROPS is a pension scheme set up outside the UK that: -
- Is regulated as a pensions scheme in the country in which it was established.
- Must be recognised for tax purposes in the country that the QROPS is established.
A QROPS scheme may however, while complying with the above, be established in a country that taxes pensions but at a minimal rate or even at 0%.
In order to be an eligible scheme, the QROPS must be fully approved by HMRC.
However where do you turn to next for the best advice? Best advice means not just telling you about the benefits, but also any potential pitfalls you should consider. That’s where our free evaluation service becomes invaluable in helping you source expert advice and guidance. After you have read through the rest of our site and downloaded our complete guide, we suggest you contact us for a discussion relating to all of the points you should consider based on your personal circumstances.
You can download our free guide right now by clicking this link.