Far-reaching changes were made by Her Majesty’s Revenue and Customs (HMRC – the UK tax office) in April 2015 disallowing thousands of migrants from transferring their UK pension funds to Australia.

Representation continues with HMRC and full detail is available from David or Scott.

Key points are:

  • April 2015 – The Pension Age test was introduced by HMRC requiring all QROPS to prohibit access to UK transferred funds before age 55.
  • June 2015 – Major Australian superannuation funds change their rules to prohibit access before age 55 and inform HMRC
  • July 2015 – HMRC strikes off all Australian schemes citing Australian superannuation legislation that overrides scheme rules does allow early access in limited circumstances.
  • July 2015 to May 2015 – Australian scheme seek legal opinion and enter into correspondence with HMRC. Self Managed Funds developed as an alternative for those over age 55.
  • June 2016 – HMRC board meet to consider the tax position of UK transfers received by Australian funds after April 2015.
  • Late 2016 – HMRC to respond to Australian funds regarding their challenge to HMRC that they do qualify as QROPS

At FinSec PTX we continually monitor developments and provide input to any party where we believe it is useful to do so.