UK DC Pensions - Options for Non-UK residents

[SamSpade]

I have DC pension pot of approx. £38,000 and up until now was assuming I'd leave it with the pension provider and take an annuity however now I've started reviewing the paperwork it seems this option is not available for Non-UK Residents so was wondering what other's have done in this situation. 

 

All my addresses with the pension provider & Company I worked for (which is also my UK Bank) are my Parents address so can I just claim that as my residential address based on the fact that I'm not a Legal resident of Thailand even though I live here as the UK is the only country where I have the legal right to be resident.

 

I'm not UK Tax Resident (haven't been for 17 years) but Tax Residency is not the same as being Legally resident somewhere.

[Zaphod Priest]

Purchasing a UK annuity is difficult (perhaps impossible) if you're not resident in the UK.

 

You can take a 25% lump sum - GBP 9,500 - tax free.  That leaves GBP 28,500.  If you withdraw this, it will be subject to UK income tax at normal rates.  Assuming no other UK income, that would be GBP 3,184.20 tax.

 

You could then invest the proceeds offshore, and so outside the grasping hands of the UK tax man.

 

p.s. Your use of the term "legal resident" is confusing.  What matters is where you're tax resident.  You are tax resident in Thailand if you stay here 180 days or more in a calendar year.