Sovereign has developed a Self-invested Personal Pension (SIPP) that is only open to members who are currently tax resident in the Isle of Man or were previously tax resident in the Isle of Man. In addition to offering increased investment flexibility, the SIPP Specialists (IOM) Scheme can provide significant tax benefits and estate planning advantages for Isle of Man residents with substantial UK and / or Isle of Man pension funds.
For Isle of Man SIPPs, there is no requirement to purchase an annuity allowing funds to continue to be invested for long-term growth. The residual fund is available for passing to your nominated beneficiaries on death and Isle of Man pension scheme assets are subject only to Isle of Man resident taxation.
Isle of Man-approved pension schemes can receive a tax-free transfer of UK benefits ahead of retirement after formal notification to HMRC that the scheme meets the criteria to be a QROPS and confirmation of such notification has been received.