Latest Update on UK Pension Transfers
Following the latest discussions between HM Revenue & Customs (HMRC) in the UK and Australian Treasury, a position was reached that Australian superannuation funds are no longer able to meet the new UK pension laws, even if they have amended their fund rules. As a result, Australian Funds* have now been removed from the Recognised Overseas Pension Scheme (ROPS) register.
The UK pension laws changed on 6 April 2015, so any transfers processed from UK prior to this date are not affected. However, transfers to Australian funds after this date may expose the member to a 55 per cent tax on the roll-over amount imposed by the HMRC on the outgoing funds.
Subsequently, AMG Super is not accepting transfers from the UK until further notice. However, please note that discussions between Australian Treasury and HMRC are continuing to see if a solution can be reached to allow Australian funds to be reinstated as qualifying schemes.
We will issue future updates as soon as any further information is available.
If you have any questions, please feel free to contact Terry Constable, Adviser Services Manager, directly on 07 3228 2632 or firstname.lastname@example.org.
* The only Australian fund still on the ROPS register is the Local Government Superannuation Scheme.