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SIPPs are subject to the same transfer rules and regulations as other pensions in the individuals country of residence, while QROPs may have more flexible transfer rules, allowing individuals to transfer their pension savings to other QROPs providers or back to their country of residence.
The Pensions Regulator (TPR) is the UK regulator of work-based pension schemes. It works with trustees, employers, pension specialists and business advisers, giving guidance on what is expected of them. TPR is an executive non-departmental public body, sponsored by the Department for Work and Pensions.
Unlike a recognised transfer between two UK registered pension schemes, a transfer from a UK scheme to a QROPS is a benefit crystallisation event. Since 6 April 2023 there is no lifetime allowance charge if benefits are over the lifetime allowance. There is also no income tax deducted.
Your Available Lifetime Allowance is the amount that you have left after deducting the value of any benefits that came into payment after 6 April 2006, plus any amounts transferred to a qualifying recognised overseas pension scheme since that date, from the Lifetime Allowance.
For a period of 10 years after a transfer completes, QROPS providers must report any unauthorised withdrawals from your pension to HMRC this means if you take benefits from your QROPS before age 55, you could still face a 55% tax charge for doing so.
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The investment options available will be dependent on the operating jurisdiction of the QROPS. However, QROPS generally allow investments to be made across a broad range of assets including collective investment funds, government and corporate bonds, cash deposits, equities and commercial property.

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