Draft legislation (accessible version)
Updated 22 November 2023
漏 Crown copyright 2023
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Pension relief at source
(1) Part 4 of FA 2004 (pension schemes) is amended as follows.
(2) In section 158(1) (grounds for de-registration), after paragraph (b) insert鈥�
鈥�(ba) that the scheme administrator fails to comply with any provision made by or under regulations under section 192(6) or (7);鈥�.
(3) In section 192 (relief at source)鈥�
(a) for subsection (1A) substitute鈥�
鈥�(1A) For the purposes of this section 鈥渢he relevant rate鈥� is鈥�
(a) in the case of an individual who is a Scottish taxpayer, the Scottish basic rate for the tax year in which the payment is made;
(b) in the case of an individual who is a Welsh taxpayer, the Welsh basic rate for that tax year;
(c) in any other case, the basic rate for that tax year.鈥�;
(b) in subsection (7)(d), after 鈥渟ubsection (6)鈥� insert 鈥渙r with any provision made by virtue of paragraph (b)鈥�;
(c) after subsection (7) insert鈥�
鈥�(7A) Regulations under subsection (6) or (7) may, in particular, make provision about penalties for failures to comply with provision made by or under the regulations.鈥�;
(d) in subsection (8), in the words before paragraph (a), for 鈥渢his section鈥� substitute 鈥渟ubsection (6) or (7)鈥�;
(e) after subsection (8) insert鈥�
鈥�(8A) The Commissioners for His Majesty鈥檚 Revenue and Customs may by regulations amend this section so as to change the definition of 鈥渢he relevant rate鈥�.鈥�;
(f) omit subsection (11).
(4) Omit sections 192A and 192B (relief at source: additional and excessive relief).
(5) In section 282 (orders and regulations), after subsection (1) insert鈥�
鈥�(1ZA) Regulations under section 192(8A) that reduce the sum an individual would be entitled to deduct and retain under that section may not be made unless a draft of the statutory instrument containing the regulations has been laid before, and approved by a resolution of, the House of Commons.鈥�
(6) In Chapter 3 of Part 2 of ITA 2007 (calculation of income tax liability)鈥�
(a) in section 26(1) (tax reductions), in paragraph (a) omit 鈥渟ection 192A of FA 2004 (relief at source: additional relief),鈥�;
(b) in section 30 (additional tax), in subsection (1) omit 鈥渟ection 192B of FA 2004 (relief at source: excessive relief given),鈥�.
(7) The amendments made by this section have effect in relation to the tax year 2025-26 and subsequent tax years.