The information within this website has been approved for UK financial advisers only. If you’re NOT a UK financial adviser, please do not view this website as it hasn’t been approved for customers.
If you’re not a UK financial adviser, please visit the customer website: pru.co.uk
By continuing to access this site, you acknowledge that you are a UK financial adviser.
20 Aug 2021
A video showing how differing methods of making a pension contribution affect the calculation of tax.
A look through how the personal allowance trap works, and how pension contributions can generate high rates of effective tax relief. As well as looking at intergenerational planning to alleviate IHT issues to assist those in this trap.
ARTICLE by The Technical Team
The money purchase annual allowance, or MPAA, was introduced with pension freedoms and this limits the amount of money which can be contributed to a money purchase scheme once pensions have been flexibly accessed before a tax charge is payable.
The UK tax system offers tax ‘breaks’ to trusts for vulnerable beneficiaries. It is critical that advisers understand who can benefit, how these tax advantages work, and the implications for trustee investment. Here are 10 Q&As regarding this very important area of tax law.