branmin

US Resident with two Personal Pensions from the UK maturing shortly. I am talking to an IFA in the UK who told me that they do work and sent me a link from HMRC showing the approved Companies they work with in the States and yet looking at pages and pages here on this subject, the IRS do not recoqnize Qrops?

I am very doubtfull that they do work and would like to send him links, backing up my facts. He objected to the fact that I said a lot of Companies were scam artists and stated I just had the wrong one....Would like to clear this up once and for all, so any links and cooments that I could send on would be appreciated.

sir_eccles

Obvious question, if they are about to mature why do you need to do anything more than let them mature and take the money?

branmin

Because I will be receiving 25% tax free in the UK, plus drawing an albeit small annual Pension. However, what with exhange rate fluctuations and charges, it's no good for me being in the UK. So therefore, I was informed by a specialist in the UK to look at Qrops and as I mentioned, from what I have learnt here and on the Expat Board, it does NOT work.............This specialist days it does and obvioulsy making sure the taxes are done efficiently and correctly this would appear the way to go for me.....yet from what I have read here....many simply state and I quote.."Don't do it, it's not recoqnized, etc, etc..so again, I would appreciate you clarifying this, with links and I would like to send this to him..........

fatbrit

There are no links because nobody has yet found a way. If you find a way, please post the link.

branmin

I understand what you are saying, I tend to agree with you, but thats not what I am asking. What I am looking for are previous links and comments showing why this does NOT work so I can pass this on to this particular person who seems to think just because HMRC ok's it, that the IRS will??

Bob

No.

That would be a good summary for all questions about QROPS and the US, unless you are asking if they don't work.

sir_eccles

Here's a link for you to try:

https://www.google.com/search?q=site%3Airs.gov+qrops

nun

If you are worried about charges the don't do a QROP, the fees will be high. Unless you have dire need of the 25% lump sum I'd just leave the pensions in the UK and make sure you are dealing with them correctly for US tax purposes.

One of the selling points for QROPS is to remove UK tax liability, but under the UK/US tax treaty as a US resident you have no UK tax liability on UK pension gains and no UK tax is due on distributions from an annuity you purchase when they mature.

branmin

Thx Eccles,

Seen this before, but and with respect, it's not telling me anything I don't already know............I want to hear from people on why they often refer to these Companies as scam artists and actually want to send back to my IFA in the UK the reasons why he is wrong and it's not adviseable to do but backed up with facts and not just...Nobody has found a way?
I believe Nun has summed it up..........Thax anyway.

branmin

Just as a matter of interest..came across this.....................sounds valid? So what is involved? Also, I note that nefore April 5th of this year, so they state, one can take 100% lump sum of their pension UK Tax free and have it transferred..after the 6th, it's not happening anymore?

http://the-qrops-specialist.com/Qrops-USA.php

sir_eccles

Which is my whole point. If the IRS allowed them, there would be something about them on their website and a form to fill in wouldn't there.

You'll probably want to reassure people here that you are in no way connected to this company. Not saying you are, just often these threads suddenly have someone pop up suggesting a magical way of making QROPS work with some new company. See above comments regarding scams.

Bob

Why yes, there's nothing suspicious about a company dealing with UK pensions being based in Spain, for which there is no listing of any persons at the company from any of the advisers to CEO mentioned on the site for people to do any background checks against.

I'd give them my money in a heart beat.

After I've helped that Nigerian prince.

branmin

Ok, I see what you mean.............no, I can assure you there is no way I am connected with any Company...I posted this link as how on earth can a Company go to all this trouble making out they are Bona Fida, if you(quite rightly) state that the IRS mention nothing and yet......
www.hmrc.gov.uk/pensionschemes/qrops.pdf


So are you telling me that I basically should tell my IFA in the UK that why do the IRS not mention anything about it....................?
At the end of the day, all I want to do what is right and if I live in the US and don't plan to go back to the UK apart from the odd vacation, what is the point in having money there? I just get the impression that any company that specializes in Qrops might make it work except you will be paying through the nose one way or another................however, my original Post said. Qrops..once and for all, does this work? The answer appears to be NO and all I really wanted to find out was WHY NOT? and bact up with Facts?
Thx.

branmin

Very dubious..I agree. These people should be shut down.

fatbrit

Bait and switch. There's plenty of money swilling around waiting to make the trip, but there's no way currently to do it. So you say you can do it, and you get the client's ear. You then switch the customer to an offshore scheme in Cyprus or Lithuania or some such and still make your commission.