May 21, 2019
Non-UK Public Service Pension Scheme Entitled to UK Tax Exemption on Rental Income
The UK First-Tier Tribunal Tax Chamber found that a German pension scheme was eligible for an income tax exemption in the UK even though it could not register as a public service pension scheme in the UK, because it had not been established by a UK legislative body. The law was held to be in breach of the EU principle of the freedom of movement of capital and is thus unlawful. The German pension scheme is therefore entitled to tax exemption without registration in the UK.