Are you correctly taxing termination payments to employees for disability?

Termination payments made to employees on account of disability are completely free of tax and National Insurance contributions (NICs). They are not subject to the £30,000 cap that normally applies to tax-free termination payments.

HMRC's restrictive interpretation of what qualifies as a disability payment has been successfully challenged in a recent case.

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Are you correctly taxing termination payments to employees for disability?

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Nicholas Stretch

Desiree De Lima

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SINGAPORE TIGHTENS MERGER AND COMPETITION REGULATION IN THE MEDIA SECTOR: KEY TAKEAWAYS FROM THE IMDA AMENDMENT BILL AND PUBLIC CONSULTATION