On 22 January 2001 PSO issued Updates Nos. 82 - 85.

PSO Update No. 82 relaxes the existing requirement to refer almost all overseas transfers to the PSO. Subject to compliance with conditions in the revised PN 10.39 and Appendix VI to IR12, or the new Appendix 22 to IR76, from 6.4.01 prior PSO consent will no longer be necessary except for controlling directors and high earners. This extends to transfers overseas from buy-out contracts and RACs.

PSO Update No. 83 applies to large self-administered schemes winding-up without replacement. Para 2 of PSO Update No. 53 allows the actuarial valuation report (AVR) to be dispensed with if winding-up is completed within 2 years of the "as at" date of the AVR. Now, where for reasons beyond trustees’ control this time limit cannot be met, PSO may still agree to an AVR not being submitted. PN 13.35 is expanded.

PSO Update No. 84 modifies the calculation of the Pension Debit in money purchase schemes. Tables of a new "Factor 5" are supplied to complement the existing "Factors 1 to 4" in Appendices VIII and IX of IR12, governing maximum funding of earmarked money purchase schemes [note: Appendix VIII is obsolete, but no indication is available as to when it will be updated to cover the ABI 1996 Method]. A number of other practical points concerning pension sharing on divorce are covered.

PSO Update No. 85 introduces a new Appendix XI to IR12 which specifies how to calculate the maximum transfer value from an OPS or s.32 to a PP, and also the valuation test applicable to controlling directors and those aged over 45 and earning more than the earnings cap. Also relevant is the Regulatory Impact Assessment, published on 23 January. Not yet available are the new PPS (Transfer Payments) Regs themselves; the Conversion Regs, to which App XI also applies; Amendments to IR12 parts 10 and 16; or the missing Part 12 and amended Part 23 of IR76.

Stop Press: The new PPS (Transfer Payments) Regs themselves and the Conversion Regs, to which App XI also applies, have just been posted on the Revenue's website. Not yet available are the Amendments to IR12 parts 10 and 16; or the missing Part 12 and amended Part 23 of IR76.