Sipp provider's Easter tax warning for advisers

A Sipp provider has warned financial advisers to avoid getting caught out by Easter falling over the tax year end. While the tax year officially ends on April 5, the Easter bank holiday weekend means that the last working day available to take advantage of the current pension rules on behalf of their clients is Thursday April 2.Suffolk Life said missing the deadline poses a number of issues.Paul Evans, pension technical manager, Suffolk Life, said this particularly included solo transfers of plans retaining pre A-day protected benefits or transfers from unfunded defined benefit schemes, neither of which will be available after the tax year end.{desktop}{/desktop}{mobile}{/mobile}He also pointed to the fact that all new capped drawdown plans must be arranged before the end of the 2014/15 tax year to enable savers to withdraw income and retain the annual tax relief allowance of £40,000.Mr Evans said: "In recent months advisers have been faced with monumental change in the pensions sector. They are having to update clients on all the upcoming changes and how these impact them. Due to all of this, there is a danger that they may get caught out by Easter falling over the tax year end."A number of advisers that I have been talking to recently had not yet realised that the bank holiday effectively brings the deadline forward by three days. Now is the time to act in order for their clients to fully benefit from the existing rules."

Sipp provider's Easter tax warning for advisers

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