"British expats told to transfer pensions"

[Oregonkiwi]

http://www.nzherald.co.nz/business/n...ectid=11168202
British expats in New Zealand who have as much as $10 billion in UK pensions have been warned to transfer their pensions to New Zealand soon to avoid losing big chunks of their savings to the taxman...

[Oregonkiwi]

"Taxman lines up king hit on overseas pensions .... An amnesty has been declared until April 1 next year, but many of the people affected have no idea that the rules exist."
http://www.nzherald.co.nz/business/n...ectid=11168381

[doreysc]

These articles are as clear as mud. They throw in lots of 'facts', criteria and rates but don't really explain what they mean or how, when and why they apply.

I think it's something about NZ taxes applying to 'tax free' elements of UK pension fund growth.

There seems to be some form of retrospective element and an 'amnesty' that applies up until April 2014.Then they say a rate of 15% applies which is definitely not an amnesty, 0% is an amnesty.

I think the four year temporary tax exemption also comes into play so from a personal perspective I've got a while to understand this.

If this is a tax on the growth of 'tax free' pension funds I don't see how they can apply it until the fund matures. My main fund went down a lot in the last recession and was still worth less than the contributions last time I looked. Theoretically that means they would owe me tax.

If there are any tax advisors out there who can clarify the key points I for one would be grateful.

Thanks

Simon