Yes if a property being purchased has been subject to VAT, the Pension Scheme Trustees must register for VAT and can reclaim the VAT charged. Likewise the rent must be subject to VAT, which the Tenant can reclaim if they are VAT registered. Any improvements to the property by the Pension Scheme where VAT is charged, means that the Pension Scheme can reclaim the VAT.
for more about Pension Schemes and VAT.
Acting as a Member Trustee to your own pension scheme is a different role to being a Member of it or a Director of the sponsoring Company, although all three roles frequently are carried out by the same person.
Member trustees will recognise that whilst their duties of company director, scheme trustee and scheme member are quite separate, they may, on occasions be complementary and reward each area of responsibility.
for more about Member Trustees.
As Independent Trustee we provide essential guidance to help you make the most of your SSAS, free of any day to day involvement in pension scheme matters. We undertake all reports to the Pensions Regulator when required. Our familiarity with the regulations means that you can fulfill your role as a Pension Fund Trustee without formal training.
An independent Pension Fund Trustee is not a legal requirement but is most advisable as we would like you to run your businesses as usual without the added burden of a role of which you are not familiar with.
for more about Independent Trustees.
As a Pension Fund Trustee you will also be appointed as Administrator which is a new role brought about by The Finance Act 2004 (colloquially known as “Simplication”). PML Trustees will also be an Administrator. If the Trustees do something which results in a tax charge on a Member or the Scheme the Administrator has the responsibility of paying this across to the Revenue.
If an Administrator is not appointed by the Scheme, all the Trustees automatically become the Administrators in the eyes of HMRC. Contrast this with an administrator, a role which Pensions Management Limited fulfils, which is, in its traditional term, an administrator of the Scheme.
for more about this topic.
There is an on-going administration charge of normally £1,200 plus VAT and this is invoiced once a year. In addition further work carried out in the year is usually invoiced when the work has been completed, for example following a property purchase. All work carried out by and is recorded on time sheets and the invoices reflect these.
We will provide an estimate of the cost of additional work prior to the work being undertaken. This may vary from the actual cost but we will keep you informed if the cost is expected to be higher, during the work. All fees under PML are subject to VAT and can be taken out of pension fund money or paid by the sponsoring company. VAT may be reclaimed if these are VAT registered.
for more about our charges.