.png)
.png)
Radical recommendations from the Office of Tax Simplification on relief for termination payments
To get actionable insight and practical guidance to support you day-to-day on 'How could a termination payment be taxed?' click here.
---
KEY POINTS
- The £30 000 exemption for termination payments would now be £71 000 if it had been increased by inflation.
- A summary of the main taxable and exempt payments on termination of employment.
- The first proposal from the OTS for reform of the tax regime on termination payments was a blanket exemption from income tax.
- The alternative proposal and simple proposal would be to make all termination payments liable to income tax and Class 1 National Insurance.
- The OTS proposes two alternative regimes involving an exemption for statutory payments and a review of other exemptions or a new limited but increased exemption. ...
Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.
