Axa denies SIPP function breaks HMRC rules

The product allows members of the pension to allocate varying levels of investment growth to different members. It is commonly used to transfer pension benefits from parents to children without incurring tax charges. For example, within a SIPP with a 10% investment return and five members, one member could take 6% of the growth and the remaining four could take 1% each. An Axa spokesperson said: "Based on the legal advice we have taken, we are comfortable with our approach to the product features of Family Suntrust." However, rival providers have claimed this practice is in breac...