| answer text |
<p>The Government has already taken steps to make it easier for parents to pass on
more of their money to their children when the die.</p><p> </p><p> </p><p> </p><p>From
April 2015, individuals will be able to pass on their unused defined contribution
pension to any nominated beneficiary when they die, rather than paying the 55% tax
charge on inherited pensions which currently applies</p><p> </p><p> </p><p> </p><p>If
the individual dies before they reach the age of 75, the beneficiary will be able
to access the funds completely tax free at any age. If the individual dies after they
reach the age of 75, the beneficiary will be able to access the funds, at any age,
subject their marginal rate of income tax. There will also be an option to receive
the pension as a lump sum payment, subject to a tax charge of 45%.</p><p> </p><p>
</p><p> </p><p>These changes will be legislated for in the Taxation of Pensions Bill
currently passing through the House.</p><p> </p>
|
 |
