. For most UK citizens, retiring to Dubai is a dream not just for the warm weather, but also for the tax-free regime and this is why QROPS Dubai becomes an attractive option for them. However, unless you know all the options available to get the most out of your funds by transferring them to Dubai, you could end up unnecessarily paying taxes or surcharges in the UK.
Here are some FAQs that will help you understand the way QROPS Dubai works.
What is QROPS?
QROPS stands for Qualifying Recognized Overseas Pension Schemes. They are pension schemes located overseas that are authorized by Her Majestys Customs and Revenue (HMRC). They provide good retirement benefits to the investor without breaking any of the laws in the UK. This means that even though your money is with QROPS Dubai, the UK tax laws would still govern it.
What is QROPS advice?
When you start looking for information about QROPS Dubai, you will be flooded with information. There will be several schemes available on the HMRC authorized list and you will be confused as to which would benefit you most. In addition, there would be laws governing these funds of which you would not be aware. To save yourself from having to pay taxes by moving to an unauthorized fund and to find out which scheme to choose, you can get advice from an expert.
Who can give QROPS advice?
You can get QROPS advice from your existing pension provider or online websites. However, the best and safest option is to contact a UK-based QROPS adviser, either a firm or an independent consultant that is licensed by the UK Financial Service Authority. They would be well versed on all aspects related to QROPS since they have stringent requirements that have to be met for getting qualified.
What are the benefits of QROPS advice?
A QROPS adviser is an expert who has knowledge of the laws governing the scheme as well as the various funds available in the market. He can customize advice specifically for you based on your needs. As part of the process, he would collect all relevant information from you such as your financial status and future needs, and his advice would be based on analysis of the information.
Therefore, if you are looking for specific advice related to QROPS Dubai, mention this to your adviser and he will give you information on the schemes, the pros and cons as well as the legal aspects, so that your process of retiring to Dubai is smooth and tax-free.