11 May 2010
Self-invested personal pension provider Hornbuckle Mitchell has
called for HM Revenue & Customs to clarify the regulations
governing income drawdown for people aged under 55.
Stewart Dick, Head of Sales said: "This issue affects anyone
aged over 50 and below 55 in an income drawdown arrangement - even
if taking zero income - but who now wants to transfer to another
scheme. We don't believe that the purpose of the regulation is to
prevent the transfer of an income drawdown arrangement to another
income drawdown arrangement taking place but unfortunately the
current wording has unintentionally led to the position where such
a transfer could trigger an unauthorised member payment
charge."
