Refund of excess pension Contribution - Update
24 March 2010
Further to our plans, announced on 20th November 2009 & updated on 9th March 2010, we confirm that we will allow refunds of excess pension contributions for members to whom the Special Annual Allowance Charge applies. Each refund will be subject to a charge of £150.00, to cover our administration costs.
The charge, which is not subject to VAT, will be deducted from the member's SIPP Plan, when the refund is paid. At the same time, a tax charge in respect of the refund (40% for contributions made in 2009/2010 & refunded in 2010/2011) will also be deducted.
Affected members requiring a refund should notify James Hay after the end of the relevant Tax Year. Members should confirm the refund amount and that the claim complies with HMRC guidelines, as clarified on the HMRC website*. Full details can be found in our initial announcement .
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