We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Are we certain to be taxed?

Hi,
Could one of the many brains out there let me have their thought's on this please -
My other half has been given notice of redundancy after 24 years. He has been sent a schedule of entitlements to sign, to confirm his employers have worked out his award properly (even though we haven't got a copy of the latest terms of employment from which to check!).
The form says he is going to receive stat redundancy plus ex gratia, which will take him to about £37.500, so I understand he will be taxed on the £7,500. It says he's entitled to 12 weeks notice, but his finishing date is less than a month from the notice -

1. Is the notice period the stat redunadancy period, or should that be a payment on top?

2. Is there any way that his redunancy payment can be framed to avoid the payment of tax (or should I say - plan not to pay tax)?

Any thoughts would be much appreciated.

Gailey.

Comments

  • GAILEY
    GAILEY Posts: 139 Forumite
    Part of the Furniture 10 Posts Photogenic Combo Breaker
    I think I might be coming close to answering my own query - but any comments/ideas etc would be appreciated - as it is, of course, entirely possible that I'm barking up completely the wrong tree!!
    My partner's compensation form says he is entitled to 12 weeks notice, as does the ACAS website etc - but he was given the notice last week - so he is "on notice" until sometime mid May - which will take him into the next tax year - so much of the extra bit will be included in his personal allowance for 2009/10? I say that as the ACAS website sas the notice takes affect at the end of the stat notice period....does that make sense??

    Also, a query - one of the factors in his selection for redundancy was that the fact that in the last 2 years he was off sick for 2 weeks. He was signed off for 2 seperate periods of one week. He operates large machinery and was on medication that would have made it unsafe for him to have been at work - is this sickness a statutory right (when a doctor certifies) and can this be used against him. His employers have ignored length of service in their criteria - so the fact that it is the only time he's been off in 24 years seems to be irrelevant, but it seems very unfair to me??

    Thanks - as always:rolleyes:
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 352.2K Banking & Borrowing
  • 253.6K Reduce Debt & Boost Income
  • 454.3K Spending & Discounts
  • 245.2K Work, Benefits & Business
  • 600.9K Mortgages, Homes & Bills
  • 177.5K Life & Family
  • 259.1K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.