Guarantee payments and suspension on medical grounds

Produced by Tolley in association with Sarah Bradford
Employment Tax
Guidance

Guarantee payments and suspension on medical grounds

Produced by Tolley in association with Sarah Bradford
Employment Tax
Guidance
imgtext

Guarantee payments

An employee is entitled to a guarantee payment for any workless day. This is a day throughout which he would normally be required to work but his employer does not provide him with work because:

  1. it does not need as much work done of the kind the employee is employed to do (eg due to a lack of orders)

  2. something happens which affects the work he is required to do (eg a threatened power cut)

ERA 1996, s 28

A ‘day’ is the period from midnight to midnight except where a period of work extends over midnight into the next day, in which case the work is treated as falling wholly within the day (from midnight to midnight) in which the majority of work was done.

In general, the right to a guarantee payment only arises after an employee has been continuously employed for one-month ending with the day before the workless day. An employee is not entitled to a guarantee payment where:

  1. the failure to provide

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
Sarah Bradford
Sarah Bradford linkedinicon twittericon

Director at Writetax Ltd


Sarah Bradford BA(Hons), ACA, CTA (Fellow) is the director of Writetax Ltd, a company providing tax technical writing services on tax and National Insurance, and also of its sister company, Writetax Consultancy Services Ltd. Sarah writes widely on tax and National Insurance and is the author of several books.

Powered by Tolley+
  • 16 Aug 2023 11:30

Popular Articles

Corporate interest restriction ― administrative aspects

Corporate interest restriction ― administrative aspectsThe corporate interest restriction (CIR) regime has some specific administrative rules in addition to the general administrative requirements for corporation tax returns. This guidance note does not include commentary on provisions that are

14 Jul 2020 11:19 | Produced by Tolley Read more Read more

Payments on account (POA)

Payments on account (POA)This guidance note provides and overview of the payments on account regime (POA). More in depth commentary can be found in De Voil Indirect Tax Service V5.110.What are payments on account?VAT registered businesses with an annual VAT liability of more than £2.3m are required

14 Jul 2020 12:52 | Produced by Tolley Read more Read more

Holdover relief for disposals by trustees

Holdover relief for disposals by trusteesOverviewWhere a capital gain has been realised on an asset that has been disposed of and that disposal was not for full value (that is not in an arm’s length sale) then holdover relief may be available. This will happen when trustees appoint capital assets

14 Jul 2020 11:54 | Produced by Tolley Read more Read more