The Treasury has accepted ‘in principle’ pension proposals from the Tax Incentivised Savings Associaton (Tisa) to reduce the annual allowance and restore higher rate tax relief.
Tisa director of retirement planning Malcolm Small believes it has enough support for its pension reforms to see it become Treasury policy later this year.
The proposals challenge the Treasury decision to taper higher rate pension relief to 20% for those earning £180,000 from April 2011.
So watch this space.............
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