Pension Levy

A new levy of 0.6% shall be charged on the value of assets in Private Pension Plans. The purpose of the levy is to fund the Governments Jobs Initiative. The levy is 0.6% and shall apply for four years as currently constituted.

That is not to say that the Government can not, in its wisdom, chose to extend the term of the levy at a later stage. The levy will be payable in two instalments of 0.3% each and will be administered by the Revenue Commissioners. The first payment is due on the 25th of July and the second on the 25th of October next. In respect of the payments for the remainder of the lifetime of the levy the first and second payments for each year will be payable on or before the 25th of March and the 25th of September respectively. Interest will be charged on late payments together with a penalty of €380.00 for each day the levy remains unpaid. It is essential that the payment is made on time given the penalty applicable.

In the first instance the Pension Fund Trustees/Administrators are responsible for making the payment. It is important that you make contact with your Pension Fund Trustees/Administrators/Managers to ensure that the levy is being paid. The levy applies to essentially all Pensions except approved Retirement Funds, vested PRSA’s and Public Sector Pensions.