FREQUENTLY ASKED QUESTIONS
Q: What is QROPS?
A: A Qualifying Recognised Overseas Pension Scheme, or QROPS, meets the specified requirements set by Her Majesty’s Revenue and Customs (HMRC). A QROPS can potentially receive transfers of UK Pension Benefits without incurring an unauthorised payment and scheme sanction charge.
Q: Why QROPS?
A: There are numerous beneficial reasons for transferring a UK pension into a QROPS.
The most important are:
- 100% Death Benefit
- Greater Income Drawdown
- No liability to UK tax on pension income
- Jurisdiction choice
- Investment freedom
Q: How do I know if I qualify?
You may qualify for a QROPS if you conform to one or more of the following conditions:
- A: If you are a UK/EU expatriate citizen between 18 and 75 years of age, you may apply for a QROPS pension transfer of an existing or ‘frozen’ UK/EU pension
- If you are a UK/EU non-expatriate citizen, provided that you will become an expatriate within the next 12 months
- If you have officially worked in the UK or any EU member country for any length of time
- Citizens of the United States of America may find it difficult to apply for a QROPS Pension Transfer, as most of the schemes are not available to US nationals although most other nationalities may apply for a QROPS Pension Transfer
Q: What happens if I were to move back to the UK?
A: If you return within 5 tax years, you will need to report your QROPS to your governing tax authority, and although it can remain offshore, it will fall under domestic rules and regulations.
Should you have any further queries- please feel free to contact us for a cost- and commitment -free meeting.