28 April 2009
Industry experts have warned that the temporary curb on tax
relief for high earners announced in last week's Budget will
unfairly impact upon self-employed people.
The "anti-forestalling" rule in the Budget has been introduced
to prevent high earners from making large contributions ahead of a
new pensions regime to be launched in 2011.
Those with regular contribution patterns will not be affected
but self-employed people, who typically make large annual single
contributions, will be caught out.
Bill Dodwell of Deloitte said that the rule "clearly needs a lot
of modification if it is going to be fair."
The Treasury has acknowledged this is a potential problem.
