QROPS/ROPS
iCare Super is a registered QROPS scheme manager with HMRC, specialising in assisting SMSF trustees with UK pension transfers to Australia. We facilitate a streamlined approval process to help ensure your SMSF is correctly listed as a QROPS with HMRC. Our experienced team has successfully supported numerous SMSF trustees in transferring UK pensions to Australia. We offer a cost-effective and fully transparent fee structure, making iCare Super one of the leading QROPS SMSF managers in the industry.
What is a QROPS/ROPS Scheme?
A QROPS (Qualifying Recognised Overseas Pension Scheme) is a type of pension scheme managed by trustees outside of the UK. These schemes are designed to meet specific requirements set by HMRC (His Majesty’s Revenue and Customs) to qualify for favorable tax treatment.
In Australia, all retail or industry funds, such as AustralianSuper, Australian Retirement Trust, Aware Super, etc., are not QROPS. Therefore, you may need to consider an SMSF.
If you are unfamiliar with what an SMSF is, please refer to this link: SMSF FAQ.
If you want to transfer your UK pension to an SMSF in Australia, the SMSF must be approved as a QROPS by HMRC.
You can find the list of SMSFs that have been approved as QROPS by HMRC at this link: ROPS list .
What are the criteria for an SMSF to be a QROPS/ROPS?
All SMSF members need to be over 55 years old for now.
However, the minimum pension age will increase to 57 on 6 April 2028. As a result, it is recommended that all existing schemes submit an updated deed now to ensure compliance with the new requirements in advance. This will help avoid schemes being removed from the ROPS list due to non-compliance. If you need to update your SMSF QROPS deed and facilitate this process, please contact us for assistance.
An SMSF cannot be a QROPS if any member is under 55 years old or 57 after 6 April 2028. This requirement is due to an amendment in UK legislation on 6 April 2015, which introduced the “pension age test.”
The “pension age test” requires that money transferred from a UK-registered scheme into a QROPS cannot be paid out before reaching the minium pensinon age unless the member has retired due to ill health.
Can I Transfer My UK Pension to an SMSF Registered as a QROPS?
Yes, you can transfer your UK pension to an SMSF registered as a QROPS, provided both you and your SMSF meet the following conditions:
- You must be under 75 years old before making the transfer.
How Much Can I Transfer from My UK Pension to an SMSF Registered as a QROPS?
If you are under 75 years old, you can transfer up to $390,000 to your SMSF as non-concessional contributions using the bring-forward rules.
Amounts exceeding this limit may attract excess contribution tax.
How Can We Help Transfer Your UK Pension to an SMSF?
As QROPS specialists, we offer comprehensive assistance with transferring your UK pension to an SMSF. Our services include:
- Setting up your SMSF with a QROPS-compliant trust deed.
- Amending your existing SMSF trust deed to ensure QROPS compliance.
- Registering your SMSF as a QROPS with HMRC.
- Notifying you upon QROPS approval and assisting with the transfer process.
- Properly allocating the transferred amount to your SMSF member account.
How Can You Transfer Your UK Pension to Your SMSF After HMRC Approves Your QROPS Application?
Once your SMSF is registered as a QROPS with HMRC, you can proceed with the transfer of your UK pension. To do this, follow these steps:
- Ensure QROPS Registration: Confirm that your SMSF is officially registered as a QROPS with HMRC.
- Request the Transfer: Use Form APSS263 to request the transfer from your UK pension scheme. This form provides the UK pension scheme administrator with the necessary information to transfer your pension to your SMSF.
By following these steps, you can facilitate the smooth transfer of your UK pension to your SMSF.
How Much Does It Cost to Set Up an SMSF to be QROPS Compliant?
Our setup costs are:
- $880 for a new SMSF with individual trustees.
- $1,760 if a corporate trustee is used.
These costs cover:
- A QROPS-compliant deed prepared by a legal practitioner
- TFN/ABN application
- All other documents, including the member application form, trustee consent, and investment strategy
How Much Does It Cost to Amend an Existing SMSF Trust Deed to be QROPS Compliant?
The cost to amend your existing SMSF trust deed to meet QROPS compliance is $660.
This is a one-off payment that can be made by your existing SMSF. Our QROPS deed is specifically designed to meet all HMRC requirements.
How Much Does It Cost to Register the SMSF with HMRC as a QROPS-Compliant Superannuation Fund?
If we handle the QROPS registration for your SMSF, the cost is $660.
This is a one-off payment that can be made by your existing SMSF.
How Long Does It Take to Register My SMSF with HMRC?
Registration takes about 1-2 weeks. We will apply for the registration on behalf of your SMSF and inform you immediately once the QROPS approval is granted. After approval, you can organize the transfer of your UK pensions to your SMSF.
What Are the Reporting Obligations for a QROPS-Compliant SMSF?
In addition to Australian reporting obligations, such as lodging tax returns and audits, you must also report the following to HMRC:
Within 30 Days:
- If your SMSF is no longer a QROPS
- If previously provided information was incomplete or inaccurate
Within 90 Days:
- Any payments to members
- Any transfers or rollovers
- If an SMSF member moves to another country
- A new address for a member living overseas
You must also report any overseas pension transferred to your SMSF within 91 days. We can assist with meeting these reporting requirements. Our cost for helping with HMRC reporting obligations is $220 per year.
What Forms Should I Use to Fulfill HMRC’s Reporting Requirements?
- Form APSS251A: Notify HMRC of any changes to the scheme within 30 days.
- Form APSS251B: Notify HMRC if the scheme ceases to meet the QROPS requirements within 30 days.
- Form APSS253: Notify HMRC of payments made from UK tax-relieved funds within 90 days.
We can help you complete these forms and ensure compliance with HMRC.
Do I Need to Re-Notify HMRC That My SMSF Continues to Meet the Conditions to be a QROPS?
Yes, HMRC requires re-notification every 5 years to confirm your scheme continues to meet QROPS conditions. The first re-notification date for this scheme will be 19 April 2026. You can re-notify up to 6 months before each due date. Failure to re-notify will result in your scheme being excluded from QROPS status. For more information, see HMRC’s re-notification guidance in the Pensions Tax Manual at www.hmrc.gov.uk/manuals/ptmanual/ptm112600.htm.
Will the Transferred UK Pension Be Taxed in Australia?
The transferred amount may be taxable in Australia. For more information, please refer to this link: QROPS Tax Advice.
We offer full administration and taxation services for QROPS SMSFs and can prepare all required documents and reports for HMRC.
If you have any questions, let us know, and our QROPS specialists will assist with all your needs.
Disclaimer
The information contained on this website is provided for general information purposes only and does not constitute financial advice, investment advice, legal advice, taxation advice, pension transfer advice, or personal advice.
iCare Super acts as an SMSF administration and QROPS registration service provider. We assist with the establishment of self-managed superannuation funds (SMSFs), preparation of QROPS-compliant trust deeds, HMRC QROPS registration applications, and related administrative services. We do not provide advice on whether transferring a UK pension to Australia is appropriate for your personal circumstances.
Transferring a UK pension to an Australian SMSF can have significant taxation, financial, pension, estate planning and regulatory consequences in both Australia and the United Kingdom. Before proceeding with any transfer, you should obtain independent financial, taxation and legal advice from appropriately qualified professionals licensed in the relevant jurisdictions.
Eligibility to transfer a UK pension to an SMSF, contribution limits, taxation outcomes, reporting obligations and HMRC requirements may vary depending on your individual circumstances and may change due to legislative or regulatory amendments in Australia or the United Kingdom. While every effort is made to ensure the information on this website is accurate and up to date, no warranty or representation is given regarding its completeness, accuracy or suitability.
References to HMRC requirements, QROPS eligibility, contribution caps, taxation treatment and reporting obligations are general in nature and should not be relied upon as a substitute for professional advice. HMRC may change its rules, policies, forms, procedures or interpretation of legislation at any time.
iCare Super does not guarantee that a particular SMSF will be accepted, approved or remain approved by HMRC as a QROPS, nor do we guarantee that any UK pension provider will approve or process a transfer request.
To the maximum extent permitted by law, iCare Super, its directors, employees and representatives exclude all liability for any loss, damage, cost or expense arising directly or indirectly from reliance on the information contained on this website or from any action taken or not taken based on that information.
You should seek professional advice tailored to your personal circumstances before making any decision regarding your UK pension, SMSF or retirement benefits.