QNUP status

Does a USA Traditional IRA meet the conditions for a QNUP and thus exemption from UK IHT? I am a UK tax payer but receive distributions from the IRA which contains the pension funds built up while I worked in the USA.

Hi,

A traditional IRA is not recognised as a pension scheme in the UK, so it will not be recognised as a Qualifying Non UK Pension Scheme (QNUPS).  It is treated as an investment scheme and taxed as interest in the UK.

You would need to conatct our Inheritance Tax team for confirmation of any exemption from Inheritance Tax.

Inheritance Tax: general enquiries

Thank you.

Thank you. Is TIAA traditional recognised as a QNUPS? University employer tax-deferred contributions were paid in until I returned to the UK in 1992. I receive required minimum distributions and as a UK citizen pay UK tax on them.

Hi Megbent

As QNUPS are more for Inheritance tax, you will need to contact the IHT helpine on 0300 123 1072 to ascertain if this is recognised.

Thank you