QNUPS is expanded as Qualifying Non UK Pension Scheme
. It constitutes offshore pension plans, which provide the prospect to the ones who invest, of saving on inheritance tax (IHT) while planning for retirement. It is specifically designed to help avoid the inheritance tax, which has long been despised by UK citizens.
You can contemplate shifting your assets in the QNUPS irrespective of being a resident or a non-resident of the UK. But, how far is QNUPS a good investment for a retiree?
To tell the truth, it proposes fresh tax planning ways to the people of UK and especially the British expats who have retired. It enables them to continue investing their money in their retirement fund while successfully availing of several tax benefits.
The following are the advantages of QNUPS for the British expats who are planning to retire abroad:
It can help you do away with local taxes when you are alive and the succession taxes after your death. However, local laws of the country you live in after retirement may be different.
You have the freedom to choose your successor as well as the share of your asset he or she will inherit as QNUPS steers clear of the laws of succession.
Income after the age of fifty-five can be taken or it can be deferred based on your convenience. A major share of your wealth will be tax free.
After you die, your assets under the QNUPS become free from the UK IHT.
It allows you flexibility and a range of options to select from as far as investment is concerned.
You have a wider choice of countries to choose, as there is no need for any qualifying country to have the Double Taxation Agreement with UK.
You can make sensible choice of currency and have the benefit of removing risks associated with the currency.
There is no need to report your dealings to the HRMC.
You can avail of the benefits of a QROPS and a QNUPS at the same time.
You do not have to linger for seven long years to avail of the advantages of escaping taxation.
There is no age limit to making contributions.
Thus, with QNUPS you can keep on contributing to save your hard-earned wealth and successfully pass it on to your heirs without losing a huge chunk to the taxman. You should avail of an expert advice on how to process the scheme and also for investment ideas.