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Where Taxpayers and Advisers Meet

Tax On A Defined Contributions Savings Arrangement

offshoreworker
Posts:7
Joined:Wed Feb 11, 2015 7:46 am
Tax On A Defined Contributions Savings Arrangement

Postby offshoreworker » Fri Nov 13, 2015 7:31 am

Good morning.

Could anybody please tell me how I would calculate the tax owed if was to take a lump sum from my company’s savings plan?

“The Plan is a defined contribution savings arrangement established under
a Trust Deed and Rules in the Isle of Man. The Plan is registered with the
Isle of Man Insurance and Pensions Authority (the IPA) as an Authorised
Scheme under the Isle of Man Retirement Benefits Act 2000 (the Act) and
Retirement Benefits Schemes (International Schemes) Regulations 2001
(the Regulations). The Plan is approved as tax exempt by the Assessor of
Income Tax for the purposes of the Income Tax Act 1970.”

The plan is administered by Fidelity on behalf of the Trustee, Boal & Co.

Contributions wise I pay a percentage of my salary into the plan and my company then match that percentage up to a max of 6%.
When I submit my tax return all payments into the plan go on my Gross and are therefore taxed.
All contributions into the plan have been made while I was working overseas.

My thoughts are tax if any will be paid on the interest/investment return?

Thanks in advance to anyone who can shed some light onto this for me.

Cheers

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