25 Per Cent Pension Tax Free Lump Sum At Risk
Published / Last Updated on 14/02/2012
25 Per Cent Pension Tax Free Lump Sum At Risk.
As part of ongoing discussions on cutting pensions tax relief, the government is looking at reducing the amount of tax free cash which can be taken as a lump sum from a pension.
Currently, 25% can be taken as cash, tax free at retirement, but under proposals being looked at, the tax free element could be limited to a monetary amount, for example £100,000 out of the 25% and the rest would still be taken as cash, but would be taxed.