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!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Tax on redundancy payment
Tax_Slave
Posts: 213 Forumite
Hi Everyone - I have a question with reference to tax on redundancy payment.
My situation is a little bit unique you could say.
I'm currently working abroad and earn and pay tax abroad.
At the end of this period , I will return to the uk and be made redundant and paid the redundancy in GBP, paying tax to HMRC.
I have no earnings in the uk for the previous 3 years or the year (Feb 2017) when my redundancy will be paid.
So I presume for a redundancy payment of £98,000 , I will get £30,000 tax free, tax allowance of £11,500 and then pay tax on the remainder ?
What would be tax rate on the remainder ?
Would it be 20% ?
Thanks for any answers
My situation is a little bit unique you could say.
I'm currently working abroad and earn and pay tax abroad.
At the end of this period , I will return to the uk and be made redundant and paid the redundancy in GBP, paying tax to HMRC.
I have no earnings in the uk for the previous 3 years or the year (Feb 2017) when my redundancy will be paid.
So I presume for a redundancy payment of £98,000 , I will get £30,000 tax free, tax allowance of £11,500 and then pay tax on the remainder ?
What would be tax rate on the remainder ?
Would it be 20% ?
Thanks for any answers
0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.6K Banking & Borrowing
- 254.2K Reduce Debt & Boost Income
- 455.1K Spending & Discounts
- 246.7K Work, Benefits & Business
- 603K Mortgages, Homes & Bills
- 178.1K Life & Family
- 260.7K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards