Pension allowance reform praised by industry but cost and impact of measures questioned
LTA abolished, AA rises to £60,000 and both MPAA and MTAA increased to £10,000
Some fear the government could alter inheritance tax rules or hike the minimum pensions age to 60
Reports say LTA could increase from £1m to £1.8m and the AA from £40,000 to £60,000
Daily Mail says lifetime and annual allowances among those that will increase
Industry letter to the Treasury calls for MPAA to be increased from £4,000 to £10,000
Aegon is reiterating its call for the £4,000 MPAA limit to increase to £10,000
This week’s top stories included more details of PensionBee’s initial public offering and Just Group’s criticism of the effects of freezing the money purchase annual allowance.
The freeze in the money purchase annual allowance (MPAA) is set to “squeeze many more basic rate taxpayers”, according to Just Group.
The Office of Tax Simplification (OTS) has called on the government to review its “complicated” pension tax measures and simplify engagement with the system.