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Making Bereavement Payment

If as a company we make a one off bereavement payment to a widower of an employee who has recently died, are their any tax implications for the widower or the company?

Rgds, John
Nov 2015:- Mortgage Balance £244,671
Aug 2017:- Mortgage Balance £183,832

Comments

  • Was their is death in service benefit in the deceased contract?

    If so then it will be tax deductable for the company as a salary expense. I am afraid I dont know the personal position off the top of my head.

    Also if it is not a defined salary benefit then I dont think the company will gain tax deduction on it but I couldnt be sure.

    Sorry if the answer isnt as full as you'd like
  • Hi There,

    This is a seperate payment to the Death In Service Payment that the widower will receive. The staff of the company have collected circa £500 and the company are going to match the donation.

    Rgds, John
    Nov 2015:- Mortgage Balance £244,671
    Aug 2017:- Mortgage Balance £183,832
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