The above Order came into force on 19 March 2010 but applies retrospectively from the 2009/10 tax year. It amends Schedule 35 of the Finance Act 2009 to extend the existing protection for the special annual allowance charge (SAAC) under the anti-forestalling measures to include:

  • change of pension provider as a result of a relevant business transfer or a reorganisation of pension arrangements by the employer;
  • increased pension contributions that were contractually agreed in writing before 22 April 2009, but not paid by that date; and
  • lump sum payments contractually agreed in writing before 22 April 2009, but not paid by that date.

However, certain conditions must be met for the relaxation provisions to apply and Her Majesty's Revenue & Customs (HMRC) has updated the relevant pages of its online Registered Pension Schemes manual with appropriate guidance.

View the guidance.