Gibraltar to enter the QNUPS market
Pension professionals in Gibraltar will soon be able to offer Qualifying Non-UK Pension Schemes (QNUPS) from Gibraltar. Government has, in consultation with the Gibraltar Association of Pension Fund Administrators (GAPFA) worked to enable the sector to offer QNUPS.
Albert Isola, Minister for Financial Services stated “This is good news. The ability to provide QNUPS from Gibraltar builds on the success of our QROPS business established over the past 18 months”.
HMRC defines QNUPS as a pension scheme that is not a registered pension scheme but is established in a country or territory outside the United Kingdom. In order to be a QNUPS, the scheme must fulfil certain conditions.
QNUPS were introduced by HMRC on the 15th February 2010. A QNUPS can invest in a wide range of assets and a major attraction for establishing a QNUPS is that it is exempt from United Kingdom inheritance tax on the member’s death.
Withdrawals from Gibraltar QNUPS are proposed to be subject to a tax rate of 2.5% similar to the 2.5% tax charge introduced for Gibraltar QROPS in June 2012.