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What is An ARF And AMRF

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What is An ARF And AMRF

ARFs and AMRFs; places where you can invest your pension funds.

These are funds managed by qualifying fund managers in which you can invest the proceeds of your pension fund.

A pension fund is the proceeds of Retirement Annuity Contracts (RAC) as they mature and in the case of a proprietary director, the pension fund will be the capital value of his/ her pension entitlements. As previously mentioned, employees can also invest all or part of their AVCs into such a fund.

If you opt for the new provisions, you must invest a minimum of €63,500 in an AMRF which cannot be withdrawn until you reach 75 years. However, income or gains made on your investment in the AMRF may be withdrawn.

Alternatively if you can prove you have at least €12,700 p. a.
guaranteed pension income in retirement there is no need for an AMRF.

Once these criteria are met you can access the balance of your pension fund.

Where funds are first accepted into an ARF or AMRF on or after 6 April 2000, income and chargeable gains will be exempt from tax while remaining in the funds, but withdrawals will be liable to income tax under the PAYE system. On death, the funds in the ARF and AMRF become part of your estate. You are free to bequeath the funds as an ordinary part of your estate, but there may be tax implications.

The tax treatment depends on who inherits the funds. There are special tax provisions for inheritances by the spouse of the deceased and children under 21 years of age.

You can of course take the balance of the fund after providing for an AMRF (if required) in cash into your hand. If you do so it will be taxed as income in the normal way in the year of receipt.




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"I run my own business and after years of struggling with a demanding home life and a hectic work schedule I reached a situation whereby I was functioning poorly with both. I’d missed a couple of VAT payments and had intended to catch up at the end of the year. I missed my own deadlines and tried again to catch-up in the following year. Business became a stressful job of ‘fire-fighting’ each day’s demands, eventually pushing the issue of outstanding taxes out of my mind as much as possible, in order to concentrate on work.

That said, you always know in the back of your mind that these things don’t just go away and that it was just a matter of time before ‘they’ catch up with you. 

After a few years of letting my compliance payments slide altogether, the Revenue made contact with me and gave me an estimate of all PAYE, VAT and tax owed over the years – which ran to over 6 figures- and they wanted the money immediately. I knew I was in big trouble and looked in the Golden pages for an accountant who could help me. The name www.fixmytax.com jumped out of the page and I made contact. I was immediately reassured that they could help me. I was asked for “every bit of paper” concerning the office and all old Revenue correspondence.

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The accountant had dealt with the Revenue directly on my behalf and he saved over 60% off the original tax bill.

Throughout the process, the fixmytax accountant was hugely supportive to me, dealt directly with the Revenue, reduced the original tax bill considerably and most importantly, had taken the fear out of the situation and given me peace of mind knowing that good progress was being made with the Revenue, rather than hiding from it all.

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My Revenue mess caused me huge amounts of anxiety all the time I did nothing to resolve it. In dealing with fixmytax, they took control of the situation and proceeded to do what had to be done. I would not hesitate to recommend them to anyone worried about any aspect of taxation and financial planning for a business.

I now have a good relationship with the Revenue, fixmytax looks after not only the basics of compliance, but also the financial planning and regularly reviews the performance of the business. My business is now stronger and more focussed that ever before simply because of the level of ongoing collaboration and support that I have with fixmytax. They are the proverbial “good accountant” that every business needs.

My most valuable lesson in dealing with fixmytax is that it is far more productive and far less stressful to get a good supportive accountant to do what they do best, leaving me free to do business. Thanks, Patrick!

Satisfied Client, name and address with firm. 

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