Pension plans are an important component of all wealth planning. Sovereign offer a range of retirement savings solutions and pension plans including Qualifying Recognised Overseas Pension Scheme (QROPS), Qualifying Non-UK Pension Scheme (QNUPS) and other retirement savings options.
Under UK legislation, effective from April 2006, expatriates or UK residents who have a demonstrable intention to move overseas may transfer the value of their UK pension rights to a non–UK pension scheme and thus potentially avoid exposure to UK tax and many of the UK pension fund restrictions. Sovereign has developed a market-leading range of HMRC-recognised QROPS and QNUPS in Gibraltar, the Isle of Man and Malta, which are world’s leading jurisdictions for pension transfers.
An international retirement savings plan is a low cost, highly efficient method to plan your retirement and long-term future. It enables you to accumulate wealth to fit your financial circumstances as they change. There is no need for a regular fixed monthly commitment as assets can be added to the plan at any time. Free from income or capital gains tax, retirement fund growth will be maximised from the outset. International retirement savings plans can be established as individual plans, joint plans for spouses or as multi-member plans.
The Private Pension Schemes Act 2012 (PPSA), which was brought into force in 2012, provides a comprehensive and simple regulatory framework for the operation of private pensions in Mauritius. Private pension schemes are now governed by a single law and regulated by a single body, which is the Financial Services Commission (FSC). The new framework focuses on good governance, transparency and accountability and risk management.
The PPSA covers all private pension schemes in or pertaining to Mauritius with the exception of schemes set up under existing legislations such as the National Pensions Act and the National Savings Fund Act. It also covers external and foreign pension schemes. External pension schemes are private pension schemes holding a GBC1 licence and administered in Mauritius on behalf of individuals outside Mauritius. Foreign pension schemes are schemes regulated in a foreign jurisdiction but authorised to operate in Mauritius for the benefit of Mauritian employees.
A pension scheme under the new legislation must be set up as a trust or a foundation and licensed or authorised by the FSC. Its assets can be managed by a wide range of financial service providers licensed by the FSC and must be held by a custodian licensed by the FSC.