Extending the reduction in minimum pension drawdowns
Extends now into the 2023 income year
The Government previously temporarily reduced the minimum required rates for withdrawals from pension accounts by 50% for the 2020, 2021, and 2022 income years.
These regulations extend this measure to cover the 2023 income year as well.
For example, a taxpayer aged 67 with an account-based pension would ordinarily be required to make a withdrawal of a minimum of 5% of their account balance in the income year. For 2020-2023 this has been reduced by 50% (i.e., to 2.5%).
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