Lifetime allowance

The total amount of pension saving by an individual within a registered pension scheme ( www.practicallaw.com/5-201-6474) that receives favourable tax treatment. The lifetime allowance was introduced by the Finance Act 2004. For the 2016/17 tax year, the standard lifetime allowance is set at £1 million. For members with pension rights that accrued before 6 April 2006, transitional protection against a lifetime allowance charge ( www.practicallaw.com/8-507-1314) was available in the form of primary protection ( www.practicallaw.com/4-204-0648) or enhanced protection ( www.practicallaw.com/resource.do?item=:24669314), but members had to register for this before 6 April 2009. The lifetime allowance has been reduced on three occasions in recent years and further forms of transitional protection are available for individuals adversely affected by the reduction.

{ "siteName" : "PLC", "objType" : "PLC_Doc_C", "objID" : "1247244887604", "objName" : "Lifetime allowance", "userID" : "2", "objUrl" : "http://us.practicallaw.com/cs/Satellite/us/resource/8-201-6477?null", "pageType" : "Resource", "academicUserID" : "", "contentAccessed" : "true", "analyticsPermCookie" : "228defb97:1547b7cfae3:-7b54", "analyticsSessionCookie" : "228defb97:1547b7cfae3:-7b53", "statisticSensorPath" : "http://analytics.practicallaw.com/sensor/statistic" }