Wbg, one of Scotland’s leading independent specialist full-service accountancy firms, is urging doctors affected by the McCloud remedy to review their tax implications on receipt of their Remediable Service Pension Savings Statement (RS PSS), due by March 2025.
The McCloud remedy removes the age discrimination judged to have arisen in the NHS Pension Scheme resulting from allowing older members to remain in the 1995/2008 scheme when the 2015 scheme was introduced on 1 April 2015.
On retirement, members will be asked to make a choice on whether they would like to receive 1995/2008 or 2015 scheme pension benefits for their membership between 1 April 2015 and 31 March 2022, the ‘remedy period’.
Alison Webster, Director in Wbg’s Business Advisory Services team with extensive experience in the healthcare sector, says that the McCloud remedy means that some doctors will have charges they’ve never had before, and some doctors’ charges will be removed.
“Doctors need to consider the McCloud remedy carefully as there could be a tax liability they’re not aware of, or it could be that they had a tax liability that’s now decreased or disappeared,” she said.
“Everyone’s situation is unique, and that’s why I would recommend seeking a consultation and a review with a professional adviser to determine your tax position.”
