Pension administrators: reporting to HMRC
Pension schemes must complete and send Pension Scheme Returns, Accounting for Tax Returns and Event Reports when required.
Who submits the returns and Event Reports
The scheme administrator is responsible for submitting the Pension Scheme Returns, Accounting for Tax (AFT) Returns and Event Reports. You can delegate these tasks but you remain responsible for ensuring they’re accurate and complete.
Pension Scheme Returns (PSR)
If HM Revenue and Customs (HMRC) needs more information about a registered pension scheme they may send you a notice telling you to complete a PSR. You must submit this using the Pension Scheme Online Service. There are 2 versions of the PSR, one for occupational schemes and the other for non-occupational schemes.
This PSR shouldn’t be confused with either the scheme return that needs to be sent to the Pensions Regulator or form SA970 Tax Return for Trustees of Registered Pension Schemes.
Deadline for submitting the PSR
The notice to file letter sent by HMRC will state the date the PSR must be submitted by. If the PSR isn’t received by the deadline you will be charged a £100 penalty. Daily penalties of £60 may also be charged if the return is still not submitted.
Amending a submitted PSR
If you made a mistake on the original PSR you should send an amended PSR as soon as you can. You can submit amendments using the online service or on paper. The online service will allow you to start submitting an amendment 24 hours after you made the original submission.
The form used to submit amendments on paper will depend on the type of pension scheme:
As scheme administrator you’re subject to tax charges when a registered pension scheme makes certain payments. The following tax charges must be reported and paid to HMRC using the AFT Return:
|Payment||When the charge applies|
|Short service refund lump sum charge||Payable when the scheme refunds contributions to a member who was a member for less than 2 years.|
|Lifetime allowance charge||This tax is due when the scheme pays a pension to a member and they’ve used up their lifetime allowance.|
|Special lump sum death benefit charge||A 45% tax due if the scheme pays certain lump sums following the death of a member.|
|Serious ill-health lump sum charge||From 16 September 2016 the serious ill-health lump sum payment is treated as taxable income and will form part of the Real Time Information (RTI) reporting that pension scheme administrators have to do.
You should not include any serious ill-health lump sum payments made on or after 16 September 2016 to a scheme member aged 75 or over on the AFT Return.
|Authorised surplus payments charge||A 35% tax that is due if the scheme pays surplus scheme funds to an employer.|
|De-registration charge||A tax charge of 40% of the pension scheme value if HMRC removes the tax registration of the pension scheme.|
|Annual allowance charge||Where the member has given the scheme administrator a notice requiring them to pay the tax for the member.|
|Overseas transfer charge||A tax charge of 25% on taxable overseas transfers made from 9 March 2017.
If the scheme makes any taxable overseas transfers between 9 March 2017 and 30 June 2017, these should be reported and paid on the AFT for the quarter beginning 1 July 2017.
From 1 July you should report taxable overseas transfers for the quarter they were made.
You must submit the AFT Return using the Pension Schemes Online Service.
Detailed guidance on the AFT Return can be found in the Pensions Tax Manual.
Deadlines for AFT Returns and tax charge payments
|Period when tax arises||Filing date deadline|
|1 January to 31 March||15 May|
|1 April to 30 June||14 August|
|1 July to 30 September||14 November|
|1 October to 31 December||14 February|
If the AFT Return or tax charge payments aren’t received by the due date you will be charged penalties.
Amending a submitted AFT Return
If you need to amend the details of an AFT Return you’ve submitted you should submit an amended AFT Return as soon as you can. You must do this using the Pension Schemes Online Service. Include all of the original information plus the amended details.
There are some events that occur in a registered pension scheme that must be reported to HMRC using the Event Report. These reports must be submitted using the Pension Schemes Online Service.
Reportable events for 2011 to 2012 onwards
|Event report number||Details of events to be reported|
|1||The scheme made or is treated as having made an unauthorised payment.|
|2||Payments of lump sum death benefit(s) of more than 50% of the lifetime allowance.|
|3||Payment of benefits to a member under age 55 who is a scheme employer, director of a scheme employer (or associated company) or connected to such a person.|
|4||Payment of a serious ill-health lump sum to a member who is a scheme employer, director of a scheme employer (or associated company) or connected to such a person.|
|5||The scheme stops paying out an ill-health pension.|
|6||A member’s benefits are tested against the lifetime allowance (a benefit crystallisation event) and:
- they have an enhanced lifetime allowance, enhanced protection, fixed protection, fixed protection 2014 or individual protection 2014
- their total benefits are more than the lifetime allowance
The Event Report doesn’t currently include fixed protection 2016 (FP2016) and individual protection 2016 (IP2016), so you won’t be able to use the 2016 to 2017 or 2017 to 2018 Event Reports to report reference numbers of your members relying on FP2016 or IP2016 from 6 April 2016.
If your members have relied on fixed protection 2016 or individual protection 2016 (and you need to tell HMRC before the Event Report is updated) contact HMRC to find out how to send the information.
Different rates and allowances that apply to pension schemes.
|7||Payment of a pension commencement lump sum which is both:
- more than 25% of the member’s pension pot
- between 7.5% and 25% of the lifetime allowance
|8||Payment of a pension commencement lump sum to a member with primary or enhanced protection, and the lump sum is more than the maximum lump sum payable to a member without lump sum protection.|
|8A||Payment of a stand-alone lump sum (100% lump sum) and the member had either:
- protected lump sum rights of more than £375,000 with either primary protection or enhanced protection
- scheme specific lump sum protection and the lump sum is more than 7.5% of the lifetime allowance
|9||A transfer to a qualifying recognised overseas pension scheme (QROPS) where the transfer was requested before 6 April 2012. For transfers after this date see the section Report transfers to QROPS.|
|10||The scheme becomes or stops being an investment regulated pension scheme.|
|11||The scheme changes its rules to either:
- require the scheme to make an unauthorised payment
- allow the scheme to have investments other than insurance policies
|12||A scheme treated as 2 schemes by HMRC before 6 April 2006 changes any of its rules.|
|13||The scheme’s structure changes.|
|14||The number of members at the end of the tax year has changed band compared to the band at the end of the previous tax year. The bands are:
- 0 members
- 1 member
- 2 to 11 members
- 12 to 50 members
- 51 to 10,000 members
- more than 10,000 members
|18||The scheme administrator is subject to a scheme sanction charge because of investment in taxable property.|
|19||The scheme changes its country of establishment.|
|20||The scheme becomes or stops being an occupational pension scheme.|
|21||Either a member or dependant moves into flexible drawdown - tax years 2012 to 2013, 2013 to 2014 and 2014 to 2015 only.|
|22||The scheme administrator has to automatically issue a pension savings statement for 2014 to 2015 or a standard pension savings statement for 2015 to 2016 onwards. This will only apply where the member has either:
- flexibly accessed their money purchase pension rights
- accessed their money purchase pension rights, and their input amounts to money purchase or Hybrid arrangements, are more than the money purchase annual allowance
|23||The scheme administrator has to issue a money purchase pensions savings statement, 2015 to 2016 onwards.|
The Event Report must also be used to tell HMRC that a pension scheme has been wound up.
Detailed technical guidance on the Event Report can be found in the Pensions Tax Manual.
Deadlines for submitting Event Reports
The deadline date for submitting an Event Report is 31 January following the end of the tax year.
If a scheme has been wound up the Event Report must be submitted within 3 months of the date the scheme wound up.
If the Event Report is not received by the deadline you may be charged a penalty of up to £300. Daily penalties of up to £60 may also be charged if the report is still not submitted.
Amending submitted Event Reports
If you made a mistake on the original Event Report you should send an amended Event Report as soon as you can. You can submit amendments either by using the online service or on paper by completing:
- form APSS 300A Amendment to a registered pension scheme Event Report - amendments to the Event Report for 2006 to 2007 or 2007 to 2008
- form APSS 300B Amendment to a registered pension scheme Event Report - amendments to the Event Report for 2008 to 2009 and subsequent tax years
The online service allows you to start submitting an amendment 24 hours after you’ve made the original submission.
Detailed technical guidance on the Event Report submission process can be found in the Pensions Tax Manual.
Report transfers to QROPS
The UK scheme administrator must tell HMRC about transfers to QROPS using form APSS 262 within 60 days of the transfer. You must also report whether the transfer was or wasn’t a taxable overseas transfer.
If the transfer is taxable you’ll also need to report the information on your AFT Return and pay the tax due.
Pension flexibility payments and pension flexibility death benefits payments
As scheme administrator you must report pension flexibility payments and pension flexibility death benefits payments to HMRC through RTI.
You can find more information about this in chapter 2 of the CWG2 guide.
Relief at source annual information return
Registered pension schemes operating relief at source must submit an annual information return detailing all member contributions paid in the previous tax year.
Read more about relief at source annual information return.
Published: 16 September 2014
Updated: 6 April 2017
- Accounting for Tax (AFT) Returns has been updated to show the latest information about the serious ill-health lump sum charge. Reportable events for 2011 to 2012 onwards have been updated to show the deadlines for submission.
- Overseas transfer charges added to the table and reporting QROPS transfers section amended.
- The rates for serious ill-health lump sum charge have been updated.
- This guidance has been updated to reflect legislation changes effective from 6 April 2016 for pension flexibility payments and pension flexibility death benefits payments and when you should submit Event Reports.
- Special lump sum death benefit and serious ill-health lump sum charges reduced to 45% (from 55%) effective 6 April 2015. Number of members per-band for Event Report 11 has changed. Event Report 21 is not applicable from 6 April 2015. Event Report 22 only applies in certain circumstances from 6 April 2015, see table for details. Event Report 23 added for when the scheme administrator has to issue a money purchase pensions savings statement.
- First published.