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- The UK government announced in the Spring Budget 2023 that it would abolish the lifetime allowance, which is currently £1,073,100 for most people in 2023/2412. The government started this process by removing the tax charge for exceeding the lifetime allowance from 6 April 202313. The lifetime allowance is being abolished from 6 April 20242.Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.In 2023/24, the standard lifetime allowance for most people is £1,073,100. At the Spring Budget 2023, the government announced that it would abolish the lifetime allowance. It started this process by removing the tax charge for exceeding the lifetime allowance from 6 April 2023.commonslibrary.parliament.uk/research-briefings/s…In the Budget on 15 March 2023, the Government announced changes to the lifetime allowance and tax-free cash. This was followed by the Finance (No.2) Act 2023 which put some of these changes into legislation from 6 April 2023. The lifetime allowance is being abolished from 6 April 2024.adviser.royallondon.com/technical-central/pensions…The lifetime allowance charge was abolished by Finance (No.2) Act 2023 s 18 with effect from 6 April 2023, but other tax charges can apply in its place. Under Finance (No.2) Act 2023 s 19, benefits that would have otherwise suffered a 55% lifetime allowance charge are instead treated as pension income of the recipient.www.taxadvisermagazine.com/article/registered-pe…
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Lifetime allowance guidance newsletter — March 2023 - GOV.UK
- 3.1 Lump sum taxation
- In certain circumstances, the following payments would currently be subject to a lifetime allowance charge at 55%. From 6 April 2023, this will be replaced with inco…
- 3.2 PAYE for employers payroll reporting See more
As a result of the abolition of the lifetime allowance, the maximum amount most members can take as a pension commencement lump sum will be frozen at … See more
The Public Service Pensions Remedy is intended, as far as possible, to put members into the same position that they would have been in had the discrimination … See more
Updated GOV.UK guidance for members will be published on 6 April 2023. We will provide further updates on the lifetime allowance changes through future … See more
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