The Inland Revenue has withdrawn its call for pensioneer trustees to be burdened with a mandatory o...
The Inland Revenue has withdrawn its call for pensioneer trustees to be burdened with a mandatory obligation to blow the whistle when its required practice rules are broken.
The Association of Pensioneer Trustees (APT) is claiming victory after lobbying the Revenue to drop the proposals, which were to come into effect as a draft instrument on 6 April 2002, the first day of the coming tax year.
According to the APT, pensioneer trustees would have faced an unacceptable conflict of interest if the proposals had been implemented.
David Seaton, chairman of the APT, said: 'A whistle-blowing obligation would have created an unacceptable conflict for pensioneer trustees.
'By law, as trustees, pensioneer trustees have a duty to the beneficiaries of the scheme and must act in the interest of members.
'The proposed regulations would have put them in a position where they could have breached their duty to those beneficiaries.'
Seaton, who describes the APT's relationship with the Inland Revenue as excellent, said: 'Pension Schemes Office Update 69, which widened the role of pensioneer trustees, only came into force on 29 August 2001 and is working extremely well by all accounts.
'It seems ridiculous that the Inland Revenue felt the need to add more powers and duties to pensioneer trustees before the effectiveness of the update is measured.'
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