Personal Retirement Scheme (Amendment) Rules, 2019

L.N. 113 of 2019

INCOME TAX ACT

(CAP. 123)

Personal Retirement Scheme (Amendment) Rules, 2019

IN EXERCISE of the powers conferred by articles 57 and 96 of

the Income Tax Act, the Minister for Finance, has made the following

(1) The title of these rules is the Personal Retirement Citation and

Scheme (Amendment) Rules, 2019, and these rules shall be read and commencement.

construed as one with the Personal Retirement Scheme Rules, S.L. 123.163.

hereinafter referred to as "the principal rules".

(2) These rules shall apply for the year of assessment 2020 and

subsequent years of assessment.

Rule 2 of the principal rules shall be amended as follows

Amends rule 2

of the principal

rules.

(a) in the definition "licence holder" thereof, the words

"Special Funds (Regulation) Act" shall be substituted by the Cap. 514.

words, "Retirement Pensions Act";

(b) in the definition "qualifying scheme" thereof, the

words "and which is approved by the Commissioner" shall be

deleted; and

(c) in the last paragraph thereof, the words "Special

Funds (Regulation) Act" shall be substituted by the words, "the Cap. 514.

Retirement Pensions Act".

Rule 5 of the principal rules, shall be substituted by the Substitutes rule

5 of the

following

principal rules.

A qualifying scheme shall be one which

conditions for

satisfies the following conditions

(a) in the case of an occupational

retirement scheme, it is a scheme that is registered

under the Retirement Pensions Act or any other

law substituting that Act and, in the case of a long

term contract of insurance issued by a licence

holder, it provides for programmed withdrawal of

arrangements as provided for in pension rules

issued under the said Act or other law; and

(b) it provides for the commencement of

payment benefits to a qualifying individual on a

date that is not earlier than the date on which the

individual attains the age of sixty-one (61) and

not later than the date when the individual attains

the age of seventy (70), except in those cases

where the scheme provides that the payment is

made by reason of the permanent disability or

death of the beneficiary; and

(c) it satisfies such further conditions as

the Commissioner may deem appropriate to

impose.".

4. Rule 6 of the principal rules shall be amended as follows

(a) in paragraphs (a) and (b) of sub-rule (2) thereof, the

words "5(b)" shall be substituted by the word "5", wherever they

occur; and

(b) in sub-rule (3) thereof, the words "the Special Funds

(Regulation) Act" shall be substituted by the words "the

Retirement Pensions Act".

5. Rule 8 of the principal rules, shall be substituted by the

following

" Tax credit for a

The tax credit to which a qualifying

individual is entitled in terms of article 57 of the Act is

twenty-five percent (25%) of the aggregate amount of

the qualifying contributions that he makes in the year

immediately preceding the year of assessment

Provided that the tax credit for any year of

assessment may not exceed five hundred euro (€500).".

€0.18