Balley Chashtal No.2 Personal Pension Scheme

Boal & Co have created the Balley Chashtal (translation: Castletown) range of trust-based personal pension schemes, for UK non-residents.

The Balley Chashtal No. 2 scheme allows for investment in bank and building society deposit accounts.

The Balley Chashtal No.1 scheme is able to take advantage of all the flexibility now afforded by the 2008 Isle of Man Pensions legislation.

The scheme is approved by:

• Isle of Man Income Tax Division - under the Income Tax Act 1989
• Isle of Man Insurance and Pensions Authority - under the Retirement Benefits Schemes Act 2000
• Isle of Man Department of Health and Social Security (DHSS) - as an Appropriate Personal Pension for accepting and operating as a contracted-out scheme
• HM Revenue & Customs (UK) - as a Qualifying Recognised Overseas Pension Scheme (QROPS).

The scheme operates under a master trust arrangement, where the scheme member is the beneficiary and Boal & Co (Pensions) Limited is the Trustee and Scheme Administrator.

The Scheme is based on the new flexible IoM pension rules introduced by the Income Tax (Pensions) Act 2008. In particular, it permits:

• a 30% tax-free lump sum benefit at retirement (compared with 25% in the UK)
• pension to be taken at retirement through pension drawdown, instead of annuity purchase
• retirement from age 50
• transfer-in of pensions from UK pension schemes, both personal and occupational, and including protected rights and GMP/contracted-out benefits
• pensions, when they come into payment, are taxed at low Isle of Man rates – not UK rates.
  

Unless you are a Boal & Co SIPP client, the Balley Chashtal schemes are only available via selected independent financial advisers (IFAs), who can guide you through how they work and which types of investment are best suited to your needs.

A list of IFAs is available from Boal & Co.

Download the Member Guide