New Zealand QROPS could be hit with 33% tax bill. #pensions #ukpensions #pensiontransfer #retiringabroad #IN
10 Monday Dec 2012
A tax shake-up could see British expats and international workers hit with a 33% tax bill if they live in New Zealand and have a Qualifying Recognised Overseas Pension Schemes QROPS in another country.
The proposals tidy up tax rules for foreign pension schemes by letting retirement savers decide whether to pay tax on a pension payment or on switching the cash to another scheme.
The issue will hit former UK residents or international workers with UK pension rights who switch their funds from the UK to QROPS.
Third party QROPS are popular with retirement savers, who can starta QROPS in one financial jurisdiction while living in another.
They are especially useful for expats or international workers who have not made a decision on where they will settle when they retire.
This article is for information purposes only and does not constitute advice. All views in this article are opinions of the Expats Pensions team. We specialise in helping people that have left the UK evaluate the possibility of taking their UK pension with them. For further information please visit http://www.expatspensions.com
For details on claiming your state pension you can visit the UK government website: https://www.gov.uk/state-pension-if-you-retire-abroad