LRD guides and handbook May 2019

Law at Work 2019 - the trade union guide to employment law

← PreviousPrint preview
Next →
Chapter 11

Redundancy payments and tax 





[ch 11: pages 422-423]

Redundancy pay (both statutory and contractual) is tax free up to £30,000. However, employees and reps must be cautious. “Emoluments”, such as wages or notice pay, within any settlement are taxable as earnings (Richardson (Inspector of Taxes) v Delaney [2001] IRLR 663). Negotiators should take professional advice if in doubt. In April 2018, the tax treatment of notice pay changed. See Chapter 10, page 333. 






← PreviousPrint preview
Next →