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Old 10.10.2011, 11:10
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Cashing in Swiss pension and returning to the UK

Hi all,
Sorry for the amount of posts today. I've read a couple of threads about cashing in pensions but can't find one for returning to the UK. I spoke to my pension fund and they said I have to apply to the zentralstelle who will then contact the British government to see if it's OK to pay my pension contributions to me in cash.

Has anyone done this? It looks like a long process which I'd rather not begin if it's going to end in 40% tax to Mr Cameron. I want to invest the cash amount in property. It's about 16k francs according to the statement I've just received.

Any help greatly appreciated.
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Old 10.10.2011, 11:12
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Re: Cashing in Swiss pension and returning to the UK

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Hi all,
Sorry for the amount of posts today. I've read a couple of threads about cashing in pensions but can't find one for returning to the UK. I spoke to my pension fund and they said I have to apply to the zentralstelle who will then contact the British government to see if it's OK to pay my pension contributions to me in cash.

Has anyone done this? It looks like a long process which I'd rather not begin if it's going to end in 40% tax to Mr Cameron. I want to invest the cash amount in property. It's about 16k francs according to the statement I've just received.

Any help greatly appreciated.
If you become 100% self employed whilst still in CH you can take it as cash.
In theory you can use it for a house purchase in the UK, I am not sure how that might be taxed in the UK as it's unusual in UK tax terms.
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Old 10.10.2011, 11:17
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Re: Cashing in Swiss pension and returning to the UK

maybe it would be best to realise it as cash here in switzerland and then bring back as cash rather than cashing in to the UK.
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Old 10.10.2011, 11:21
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Re: Cashing in Swiss pension and returning to the UK

Hmm sounds like a plan. However I'm currently working part time as a teacher so self employed may not be an option. I suppose I could ask if they'd pay me in cash then promise that I'd leave shortly after.

I just spoke to the zentralstelle again on the phone. They say there's a form to fill in if I am leaving the country but they need to contact the British government.
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Old 10.10.2011, 11:32
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Re: Cashing in Swiss pension and returning to the UK

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Hmm sounds like a plan. However I'm currently working part time as a teacher so self employed may not be an option. I suppose I could ask if they'd pay me in cash then promise that I'd leave shortly after.

I just spoke to the zentralstelle again on the phone. They say there's a form to fill in if I am leaving the country but they need to contact the British government.
Just become 100% self employed, then fill in the form, get cash & leave CH. It probably takes a month.

I will probably do the same thing, seems the best way.
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Old 10.10.2011, 12:40
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Re: Cashing in Swiss pension and returning to the UK

Yeah seems that may well be the way to go. I am currently PT teaching which is topped up by the Chomage so I suppose I'd have to resign my job after they make a payment. Live on one month's salary and hope the money came through quickly.
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Old 23.08.2012, 23:04
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Worst case would be a tax offset, depending on when the OP says she became re-resident in the UK for tax purposes.

As she paid the Swiss deferred tax owed and it was Swiss income, and doesn't originate in the UK, and was Swiss resident in the tax year, she might be OK. Especially if she's resident less than 90-183 days in the UK tax year.

Worst case is 28% Cap Gains tax on the diff, or 18% if qualifying for the lower rate after 10k deduction in UK less Swiss tax already paid, I would guess. Might depend on the bilateral agreement.
CGT does not enter into it, it's income received by a uk resident to buy thrre main residence so upto 50% tax could be payable, a credit for the 6 %Swiss tax deducted will of course be given .

This is not straightforward. UK tax is self assessment any mistake could be expensive .
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Old 28.08.2012, 17:22
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Oh dear! Be better putting your cash into gold !
You hold bulls make me laugh , you had no interest at $ 250 an ounce , but at 1600 it's a bargain!
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Old 29.08.2012, 08:31
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Come on guys! This isn't an investment thread where somebody asked what to invest his pension in. Let the guy enjoy the house he already bought!
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Old 22.05.2016, 11:40
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Re: Cashing in Swiss pension and returning to the UK

Hi, has anyone gone this route lately?

Considering drawing out as much of the Swiss pensions as possible and consolidating them in our UK plan.
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Old 30.10.2016, 06:57
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Re: Cashing in Swiss pension and returning to the UK

I am British, my husband Swiss and we are 66 and 68. We wish to return to the UK but don't know how to start the process. We hope to buy a small property in the south of England. If anyone knows about this or is going through the same thing, advice would be very much appreciated!

Thank you for your help.
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