E34. Are you paying too much tax on your pension income? You have the right to pay less!

Fiduciary Wealth Team
Are you resident outside of the UK?

Are you drawing income from a private UK pension fund?

If you have answered yes to the above two questions then you may want to reconsider your options. Did you know that the income you draw from your UK pension fund is taxed at income tax rates either in the UK or in Spain which could mean that after personal allowances have been deducted you are paying upwards of 20% tax on the remainder. With income tax rates increasing significantly in Spain so that income over €17,707 is taxed at a minimum of 30% this could seriously affect the amount of disposable income you have to maintain you standard of living and enjoy your retirement.

Furthermore did you know that by leaving your UK pension fund in “drawdown” you run the risk of your beneficiaries having to pay a 55% tax charge on the remainder of your pension fund when you die, so a fund of £300,000 would suffer a massive tax charge of £165,000 before your beneficiaries could receive a lump sum.

Fortunately Fiduciary Wealth have a solution to your problem. By transferring your UK pension to our specially designed QROPS you can not only reduce your tax bill so that only a small percentage of your income is taxed but also your pension funds can legitimately pass to your beneficiaries without a significant tax penalty.

There are other benefits too, but why don’t you find out just how much tax you can save by calling our tax saver helpline on Tel: 956 796 911 or by emailing Tax won’t go away so why not do something about it now.