The Northern Ireland Tax Committee of Chartered Accountants Ireland responded to the consultation “Freedom and Choice in pensions” which, as announced at Budget 2014, proposes that from April 2015 individuals will be able to access their defined contribution pension savings as they wish during retirement, subject to their marginal rate of income tax. The 25% tax free lump sum will continue to be available.

This consultation outlines the government's proposals for changing the tax rules to allow this and for introducing a guarantee that everyone with a defined contribution pension will be offered free and impartial face-to-face guidance on their financial choices when they retire.

The consultation closed on 11^th June and the Committee's response will be covered in the July issue of tax.point.