Hot Topic: Pensions tax – transitional tax-free amount certificates – July 2024


6 April 2024 (“LTA-Day”) marked the end of the LTA and the debut of two new tax-free lump sum allowances: the “lump sum allowance” (“LSA”) and the “lump sum and death benefit allowance” (“LSDBA”). For individuals who took benefits before LTA-Day, transitional provisions help to determine their future allowances.

In this Hot Topic:

  • The main headlines
  • Applying for a TTFAC
  • The process
  • Who decides if the evidence is adequate?
  • What should the certificate look like?
  • What if a TTFAC is wrong?
  • Practical points

Read our hot topic here.