Civil Service Pensions’ Transitional Tax-Free Amount Certificates

From 6 April 2024, HMRC has abolished the Lifetime Allowance, introducing two new allowances: the Lump Sum Allowance, and the Lump Sum and Death Benefit Allowance.

Below we’ve provided you with all the information you’ll need to understand the background on the changes and how you can apply for a Transitional Tax-Free Amount Certificate (TTFC) if you're eligible.

You can also check if you can apply for a TTFC via the HMRC qualification tool or view further information in the HMRC Pensions Tax Manual.

What’s changing?

From 6 April 2024, HMRC replaced the Lifetime Allowance with two new limits: the Lump Sum Allowance and the Lump Sum and Death Benefit Allowance.

Any Lifetime Allowance you used before this date counts towards your available Lump Sum Allowance. HMRC will assume you took the maximum 25% tax free cash at each benefit crystallisation event, even if you took less.

If you took less than 25% tax free cash, you may be able to increase your Lump Sum Allowance by applying for a TTFC.

You must apply for a TTFC before accessing any pension benefits after 6 April 2024. You only need to apply once, and it will apply across all your pension schemes.

​​​Important - Once the TTFAC is issued it will always apply and you will not be able to revoke it. It can be cancelled by a scheme administrator if it is found to be incorrect.

Before you apply

Read the Information Sheet and the relevant section of HMRC’s Pensions Tax Manual to check you’re eligible.

The application form includes technical terms, which are explained in the Information Sheet's Glossary. It’s important to read so you have a full understanding of the process.

Getting ready to apply:

• if you’ve received pension benefits from other schemes, you must contact them directly to obtain the required evidence
• you won’t be able to submit your application without these documents
• we’re unable to contact other pension schemes on your behal.

If all your benefits are in the Civil Service Pension Scheme, you won’t need to provide supporting evidence. There’s a checkbox on the form to confirm this applies to you.

When you submit your application, you’ll be asked to confirm that you’ve understood the eligibility criteria, and you must confirm that all information and evidence provided is accurate.

How long does it take?

Under the regulations, once a pension scheme receives a valid application, they must issue a Transitional Tax Free Amount Certificate or send a notice of refusal within three months.

We aim to respond to TTFC applications within 55 working days.

For requests from other schemes asking for information to support an application, we aim to respond within 10 working days, although this may take longer in some cases.

Please note that we’re unable to expedite applications.

Ready to apply?

If you’ve read the information above and meet the eligibility criteria, apply for a Transitional Tax Free Amount Certificate (TTFC) now.