Overseas pension on return to UK

[AlanSmith2017]

Hi, I was hoping someone might be able to help with the following query.

I'm a UK national who spent seven years working full time abroad (2009 - 2016) for a local organisation. I was tax resident there the entire time, and accrued a pension pot of roughly £40,000. I returned to live and work in the UK in late 2016, in my 40s. At this point, the pension was disinvested and returned to me as a lump sum (the scheme itself is a fairly poor DC scheme that only pays lump sums on death, retirement or leaving employment to all members).

Is this subject to any UK tax charge? My understanding is that, because the benefits resulted from 100% service abroad and the money was paid out before April 2017, it would not be, but do recent rule changes have any impact on this? Can anyone advise on the proper steps of notifying HMRC (if necessary) and/or whether this should go on a self-assessment form? If there is a tax liability, could this be avoided by placing the money in a SIPP?

Advice would be appreciated.

Alan

[darthblingbling]

Depends on whether or not you were tax resident in the UK at the time of the payment, if you can claim Split Year Treatment if you are tax resident and the payment was made in the overseas part, or if any DTA relief exists for pensions with the country of source.