SCHEDULES
C1SCHEDULE 28Registered pension schemes: authorised pensions—supplementary
Part 2Pension death benefit rules
F1Nominee's flexi-access drawdown fund
Sch. 28 paras. 27A-27K and cross-headings inserted (17.12.2014) (with effect in accordance with Sch. 2 para. 3(2) of the amending Act) by Taxation of Pensions Act 2014 (c. 30), Sch. 2 para. 3(1)
27E
1
For the purposes of this Part a nominee's flexi-access drawdown fund in respect of an arrangement consists of such of the sums or assets held for the purposes of the arrangement as are newly-designated nominee funds.
2
For the purposes of this Part sums or assets held for the purposes of an arrangement are newly-designated nominee funds if—
a
they—
i
have, at any time on or after 6 April 2015, been designated under the arrangement as available for the payment of nominees' drawdown pension, and
ii
were, immediately before being so designated, unused drawdown funds or unused uncrystallised funds, or
b
they arise, or (directly or indirectly) derive, from newly-designated nominee funds under paragraph (a) or from sums or assets which so arise or derive.
C4C53
Sums or assets held for the purposes of an arrangement after the member's death are unused drawdown funds if—
a
immediately before the member's death, they were held for the purposes of the arrangement and represented (whether alone or with other sums or assets) the member's flexi-access drawdown fund, or drawdown pension fund, in respect of the arrangement, or
b
they arise, or (directly or indirectly) derive, from unused drawdown funds under paragraph (a) or from sums or assets which so arise or F3derive,
F4and since the member's death they have not been designated as available for the payment of dependants' drawdown pension, not been designated as available for the payment of nominees' drawdown pension, not been applied towards the provision of a dependants' annuity, not been applied towards the provision of a nominees' annuity and not been applied towards the provision of a dependants' scheme pension.
C4C5C64
C2In the case of a cash balance arrangement, sums or assets held for the purposes of the arrangement after the member's death are unused uncrystallised funds if—
a
they represent the whole or any part of the sum that would have been available immediately before the member's death for the provision of benefits to or in respect of the member if entitlement had arisen immediately before the member's death to all benefits under the arrangement to which entitlement had not previously arisen, and
b
since the member's death they have not been designated as available for the payment of dependants' drawdown pension, not been designated as available for the payment of nominees' drawdown pension, not been applied towards the provision of a dependants' annuityF5, not been applied towards the provision of a nominees' annuity and not been applied towards the provision of a dependants' scheme pension.
C4C5C65
C3In the case of any other money purchase arrangement, sums or assets held for the purposes of the arrangement after the member's death are unused uncrystallised funds if—
a
immediately before the member's death they were held for the purposes of the arrangement and at that time—
i
were not member-designated funds,
ii
were not newly-designated funds,
iii
had not been applied towards the provision of a scheme pension, and
iv
had not been applied towards the provision of a dependants' scheme pension, or
b
they arise, or (directly or indirectly) derive, from unused uncrystallised funds under paragraph (a) or from sums or assets which so arise or derive,
and since the member's death they have not been designated as available for the payment of dependants' drawdown pension, not been designated as available for the payment of nominees' drawdown pension, not been applied toward the provision of a dependants' annuityF2, not been applied towards the provision of a nominees' annuity and not been applied toward the provision of a dependants' scheme pension.
Sch. 28 modified by The Pensions Schemes (Application of UK Provisions to Relevant Non-UK Schemes) Regulations 2006 (S.I. 2006/207), regs. 1(1), 14 (as substituted (with effect in accordance with reg. 1(2) of the amending S.I.) by S.I. 2012/1795, regs. 1(1), 5)