Serious ill-health lump sums
2(1)Section 636A of ITEPA 2003 (exemption for certain lump sums under registered pension schemes) is amended as follows.
(2)In the heading, for “Exemption” substitute “Exemptions and liabilities”.
(3)For subsection (3A) (serious ill-health lump sum paid to member who has reached 75 is taxed only under section 205A of FA 2004) substitute—
“(3A)Section 579A applies in relation to a serious ill-health lump sum which is paid under a registered pension scheme to a member who has reached the age of 75 as it applies to any pension under a registered pension scheme.”