Introduction Background
8.The section is covered by a resolution made under the Provisional Collection of Taxes Act 1968. Under this resolution drawdown providers account for income tax under Pay As You Earn procedures before the 2013 Finance Act receives Royal Assent where they have made payments from a drawdown pension fund which are higher than 100% of the basis amount but are not more than 120% of the basis amount in a drawdown pension year beginning on or after 26 March 2013.