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Posted Wed, 05 Apr 2023 15:55:21 GMT by chantey_puckers
Hi, can you advise if I take a small pot of under £10k, does the 25% tax free amount from the small pot come off the PCLS amount of my main pension or are they considered separate meaning I can keep my 25% LTA PCLS intact for longer?
Posted Fri, 14 Apr 2023 12:18:49 GMT by HMRC Admin 20
Hi chantey_puckers,

Detailed guidance on the implications of taking  'small pot' lump sums is provided at:
 Tax when you get a pension

Thank you.
Posted Sat, 15 Apr 2023 08:37:54 GMT by chantey_puckers
Thanks, but that information is out of date. "You can usually take up to 25% of the amount built up in any pension as a tax-free lump sum. This is limited to a maximum of 25% of your available lifetime allowance. For most individuals, the standard lifetime allowance applies. This is currently £1,073,100." The LTA was scrapped in the budget. Shame that HMRC can't supply accurate information, who else can I ask!
Posted Thu, 20 Apr 2023 09:50:14 GMT by HMRC Admin 25
Hi chantey_puckers, 

See further guidance here:

Lifetime allowance guidance newsletter — March 2023

Thank you. 


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