Approvals - Pension Plans (Approval / Surrender)

Tags: VICTORIA COURTS, individual, pensioners

Approval of Pension Fund Plan

An Approved Pension Fund Plan is a pension fund plan approved by the Board of Inland Revenue which allows for an arrangement under which payment is made by –

(1) An employee in trust to trustee or a corporation sole of any periodic or other amount as a contribution under the trust

(2) By an employer in respect of that employee in trust to the said trustee or corporation sole of any periodic other amount as a contribution under the trust, to be used, invested or otherwise applied by the said trustee or trust corporation, as the case may be, in accordance with the regulations for the purpose of providing to the employee commencing on retirement, a pension for life.

Procedure

The Proposal Document should be submitted to the Legal Section and the Supervisor of Insurance for approval

Refund of Pension Contributions

Where an employee has been a member of a plan for a period over five year permission must be sought from the Board of Inland Revenue prior to making any refund of contributions on account of :

  • a return of the employee’s contribution, or

  • reasonable interest on the employee’s contribution.

Procedure

  • The employee submits a request for a refund of contribution to the trustee (addressed to the Inland Revenue Division) stating the reason for the request.

  • The trustee forwards this request together with a letter stating the employee's: contributions made to date, interest earned to date and the period of membership in the plan

  • Approval is issued to the trustee.

To facilitate the processing the employee must ensure that he has no outstanding tax liabilities.

Where is it available?

This service is available at the following locations