The following Employment Tax guidance note Produced by Tolley in association with Paul Tew provides comprehensive and up to date tax information covering:
Employees may be paid by either their employer on behalf of a third party or by a third party directly for loss of their earnings. Examples of a loss of earnings might be instances in which an employee is required to attend jury service or trade union meetings. The tax treatment depends on whether the amount is compensation based on the actual loss of employment income, or whether there is further reward beyond the true loss to the employee.
From 6 April 2018, ITEPA 2003, s 299A specifically exempts voluntary office-holders receiving compensation for lost employment income from PAYE. Prior to 6 April 2018, this treatment was based on an extra-statutory concession. This exemption covers a relevant authority, which means office holdings within Government, local government (for example a county, district or parish c
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