Let's Consider Likely Benefits Of Qrops Pensions

By Author: simmi
Total Articles: 7
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The advent of QROPS or Qualifying Recognized Overseas Pension Schemes has given a lot of flexibility to former UK residents. They can now transfer their UK pensions to global jurisdictions without being frustrated by the rigid regulations of UK pension laws. QROPS offers a number of financial benefits to people who are planning to settle overseas, or who have already emigrated, and wish to move their pensions. Let's consider few of them here.

Tax Advantages
Prior to QROPS, it was mandatory to pay a tax for transferring your pension to overseas accounts. With QROPS, as a non-resident of UK, you need not pay taxes on transferring pensions or withdrawing money from a global jurisdiction. Monies and assets held within the QROPS are not subject to UK taxation and income is paid gross. In the initial five years, (soon to change to 10 years) your QROPS providers must report all the activities of the pension scheme to Her Majesty's Revenue & Customs (HMRC) after which it is governed by the respective overseas jurisdiction.

Investment ...
... Benefits
Having a QROPS makes it easier for you to opt for a variety of investment opportunities. You can invest in such attractive options like hedge funds, equities, bonds and gilts. Your QROPS adviser is the right source to turn to for appropriate advice on these investment options.

Death benefits
Unlike UK pensions, the fund value of a QROPS will pass intact to your beneficiaries without being subject to UK taxation, in the event of your death.

Simmi writes for Gerard Associates LTD, for more information on Qualifying Recognised Overseas Pension Schemes , click on QROPS .