SIPP/SSAS Eligibility
Room to Invest is a SIPP/SSAS compliant investment product as it is classed as a commercial property asset
SIPP - Self Invested Personal Pension
SSAS – Small Self Administered Scheme
A self invested (member directed) personal pension scheme, combines a full range of investment opportunities as permitted by the HM Revenue & Customs, together with maximum flexibility on retirement, available at an extremely cost effective charge.
In April 2006, the rules on what savers can include in their self invested personal pension plans were published by HM Revenue & Customs.
The Guidance Notes confirmed that the Chancellor permitted SIPP/SSAS holders to invest in hotel rooms such as those sold by Room to Invest . The only stipulation is that SIPP/SSAS holders may not stay in their rooms.
What tax benefits can I expect by including my investment in a SIPP/SSAS?
- No Income Tax on income – income is paid gross
- No capital gains on resale of the Room Rights
- Provided certain conditions are met you can borrow 50% against your SIPP/SSAS which allows you to derive further tax free income and gains from any additional investments made
If you have an existing SIPP/SSAS
You will need to contact your existing SIPP/SSAS provider and request that they complete the attached Application Form and arrange the transfer of your subscription funds to Room to Invest.
If you do not have an existing SIPP/SSAS but wish to start one
We can introduce you to a SIPP/SSAS provider who will arrange to establish a pension for you. Please contact Room to Invest International Limited for further details.
Transferring your pension
It is possible to transfer your Room Rights from one scheme to another, such as from yourself to a SIPP or SSAS, from one SIPP or SSAS to another or from a SIPP or SSAS to yourself.
The circumstances where this may be necessary are if you are transferring from one pension scheme to another, paying a pension contribution in the form of the investment itself or receiving retirement benefits in the form of the investment.
This is done by completion of a change of ownership form which can be provided on request, and a valuation of your investment can also be provided for transfer purposes on request.