For those of you who took advantage of the ability to have numerous retirement income streams from different annuities or pension funds managed by different companies in order to have each taxed with the applicable rebate, you need to be aware that your income will now be accumulated and you will be taxed on the total amount.
SITE tax is being phased out over the next two years and the effect of the tax could start effecting you as soon as next month. The previous system was in effect a loophole which allowed people with numerous annuities or pension funds to benefit from the rebate on each investment, effectively taking you out of the income tax loop as each investment was seen as an individual person.
This is sadly no longer the case with the Government seeking every possible opportunity to swell the coffers of the Revenue services and bring everyone into the tax net. We need not be too upset about this, those of you who structured your investments to take advantage of this have enjoyed a number of years of multiple rebate claims and there are always new and innovative ways to get the most out of your retirement Investments.
Get some Free advice by completing the form and we will advise you on the best possible way to structure your retirement savings. The retirement industry is becoming increasingly more regulated and under the spotlight as collective investment schemes and property syndication schemes appear to be falling foul of the law. The Government is committed to preserving peoples retirement savings and we can expect to see more far reaching regulations and rules under which the retirement industry operates. Costs are the next big hurdle to tackle, where retirement savings are being eroded by costs in an industry which is conservative and produces predictable but lower returns than many other investments.
Get the advice you need, its free and without any obligation by contacting us.