I have a . If I die after April 2027 and I’m over 75, and if my nominated beneficiary dies before 75, will the sum their beneficiary inherits be subject to income tax?Brian, Hertfordshire
source https://www.which.co.uk/news/article/can-my-self-invested-personal-pension-be-inherited-tax-free-a2nqX3y1WCGp
'Inheritance tax on pensions is changing, but the income tax rules aren't'
Which? money expert Joanne Padilla says...Upon your death, one option for your beneficiary is to continue with a beneficiary drawdown pension.
Their beneficiaries would then be able to take the pension as a beneficiary drawdown, meaning that it’s possible for pensions to be passed down the generations. These plans can be transferred to other providers.
Whether income tax applies depends on the age of the last owner of the pension. This means withdrawals from an inherited fund can be taxed differently as the plan passes to new beneficiaries on successive deaths.
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source https://www.which.co.uk/news/article/can-my-self-invested-personal-pension-be-inherited-tax-free-a2nqX3y1WCGp