Prisons are in but beach huts are out. Jewellery is barred but gold bullion is permitted. The long-awaited rules on what savers can include in their personal pension plans have been unveiled by HM Revenue & Customs.
A-Day the name given to the date April 6, when far-reaching revisions designed to simplify the UK’s pensions regime took effect.
Ever since Gordon Brown’s U-turn over allowing so-called “exotic investments” in self-invested personal pensions (SIPPs) last December, investors have been waiting to see which assets would qualify for tax breaks under the new regime.
Direct investments in residential property, including second homes and buy-to-let flats, were definitely excluded last December.
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But as well as prisons, investment in children’s homes, halls of residence - but not student flats - care homes, hospitals and hotels, as long as they are not owned as a timeshare, are allowed.
}ob-related property such as flats occupied by caretakers and shop managers are also permitted. Excluded are properties that do not serve a serious social purpose such as beach huts and stables bought by race horse syndicates.
Most of the permitted assets in the 100 pages of explanatory Revenue documents are immovable property. But bullion is allowed, unlike jewellery, antiques and fine wines, as the price is set on a recognised public market.
Article date: May 2006 |
