Pensions

Pensions

The information on this page is regarding private pensions only. Information on state pension can be found on the Retirement and Pensions webpage.

A pension can be used to save and to provide an income in your retirement.

In order to encourage people to make provision for a pension, there is income tax relief on contributions paid into an approved pension scheme. Income generated in the pension scheme itself is exempt from income tax. Income tax is charged on the pension when it is paid out, but only if the individual is liable to income tax and after personal allowances and allowable deductions.

Types of Isle of Man pension schemes are listed below.

• Personal Pension Schemes or Self Invested Personal Pension Schemes (SIPPS) approved under Part 1 of the Income Tax Act 1989

• Occupational Pension Schemes approved under the Income Tax (Retirement Benefit Schemes) Act 1978

• International Pension Schemes approved under Section 50B of the Income Tax Act 1970

• International Pension Schemes approved under Section 50C of the Income Tax Act 1970

• Statutory schemes, approved by Tynwald