Part-time SSAS admins put schemes 'at risk'

clock

SSAS members could face huge tax charges if their accounts are not in order, and advisers should make their clients aware of the risks involved of using a part-time administrator, warns Hazell Carr.

The SSAS arm of Xafinity says many scheme trustees are unaware of the tax rules, and are putting their scheme's assets at risk. For most SSAS operations, members act as trustees and take on the legal role of 'scheme administrator', which carries many reporting duties. However, HMRC has the power to levy a 55% tax charge on scheme assets if its rules are breached. Andy Bowsher, director of self-invested pensions at Hazell Carr, says advisers need to ensure their clients understand the risks involved in administering their own SSAS. Duties of scheme administrators include reporting im...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Tyndall Partnerships head Sullivan on bespoke empowerment

Tyndall Partnerships head Sullivan on bespoke empowerment

‘No two IFAs invest in the same suite of models’

Isabel Baxter
clock 09 December 2024 • 4 min read
Smoothed funds set to be a 'bigger asset class for the advice market'

Smoothed funds set to be a 'bigger asset class for the advice market'

‘An attractive low-risk solution for retirees’

Isabel Baxter
clock 25 November 2024 • 3 min read
Advisers no longer see inflation as a major concern

Advisers no longer see inflation as a major concern

Funds offering a level of inflation protection were the last research, Square Mile finds

Isabel Baxter
clock 22 October 2024 • 4 min read