HMRC issues guidance on abolition of pensions lifetime allowance

30 Mar 2023

HMRC recently issued preliminary guidance in regard to the abolition of the pensions lifetime allowance.

At the Spring Budget, Chancellor Jeremy Hunt announced that the lifetime allowance charge will be removed from 6 April 2023. The allowance will be fully abolished from the 2024/25 tax year via a future Finance Bill, HMRC said.

However, experts have warned that it is currently not clear how the interim period between 6 April 2023 and the full abolition in the 2024/25 tax year will work.

HMRC has created a lifetime allowance working group which allows it to work closely with the public in analysing the details in relation to the full abolition of the allowance, including the impact on legislation and processes. Those interested in joining the working group should email ltaadministration@hmrc.gov.uk and put 'lifetime allowance (LTA) working group' in the subject heading.

About us

Higgisons was formed by John Higgison in Oxford Street in 1965 and was originally part of the Accountancy Tuition Centre until James McHale became managing partner and the firm moved to its City Road premises in 1982.

We like to become involved at the planning stage of the formation of a business venture to ensure that it is structured as flexibly and efficiently as possible so that it can cope with changes in legislation or personal circumstances.

Higgisons Chartered Accountants
Higgison House
381-383 City Road
London
EC1V 1NW


© 2024 Higgisons Chartered Accountants. All rights reserved. We use cookies on this website, you can find more information about cookies here.