Five things you need to know about Qnups
By , 10 Jul 17
For years, qualifying non-UK pension schemes (Qnups) have been seen as a niche product relegated to the realms of ‘aggressive tax planning’, says Martin Hall, director of Isle of Man-based pension provider Optimus. Here he reveals five reasons why it’s time for advisers to re-evaluate their position.
Tax rules governing offshore bonds have existed, largely untouched by the legislative pen, for decades. Put simply, an offshore bond is a mechanism for high net worth and mass affluent individuals to store after-tax savings for the future, just like a Qnups.
It does not in itself offer any IHT protection (which a Qnups does) but does allow access to 5% of capital per annum from day one without an immediate charge to tax (which a Qnups doesn’t).
In other words, a Qnups reaches the parts that registered schemes and offshore bonds cannot reach.
