Budget and Company pension contributions

[jimbob12]

I am a bit confused as to whether the budget is now restricting company contributions to directors pensions. I won't be in the new 50% bracket, but in FT today, there is talk of limits of 20K for annual contributions as of immediate effect ? Anyone clarify this as my company has contributed over 20K last 2 company tax years, and the tax year for the company is not same as that of personal tax year which complicates matters.

http://www.ft.com/cms/s/2/d7758e5e-3...44feabdc0.html

[Retro]

I am a bit confused as to whether the budget is now restricting company contributions to directors pensions. I won't be in the new 50% bracket, but in FT today, there is talk of limits of 20K for annual contributions as of immediate effect ? Anyone clarify this as my company has contributed over 20K last 2 company tax years, and the tax year for the company is not same as that of personal tax year which complicates matters.

http://www.ft.com/cms/s/2/d7758e5e-3...44feabdc0.html

It looks to me as if you won't be affected by the changes, please see:

http://www.hmrc.gov.uk/budget2009/pe...ustry-1550.pdf

This is an extract from the document.

Who do the changes affect?
.The vast majority of people will not be affected by these changes.
.The changes will not apply to anyone whose total annual income is less than £150,000 and was less than £150,000 in the previous two tax years.
.The changes will not apply even if their total annual income was £150,000 or more if they continue as normal with their existing regular pension contributions and accrual of pension benefits (including any employer contributions) and do not increase these pension savings on or after 22 April 2009.
.The changes will not apply if their total annual income was £150,000 or more and they increase their pension savings or accrual of pension benefits, provided their overall annual pension savings or benefit accruals are less than £20,000.