The Government has told pension claimants that they may 'wish to delay transferring to a new provider' under the new rules
HM Revenue and Customs has come under fire for making last-minute alterations to its new pension tax system, which has scrapped the Lifetime Allowance for a lower limit on lump sum payments - with the fixes and changes made to the system just days before it was due to be implemented described as a 'shambles' by an industry expert.
With little information about what does or does not qualify as a lump sum, HMRC have now also recommended that people do not change pension plans until the dust has settled. Andrew Tully, technical services director at Nucleus Financial, said to the industry publication Pension Expert: “To suggest at such a late stage that people should delay taking benefits or transferring shows how poorly these changes have been implemented.
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