Termination payment – NI payable
At present termination payments are exempt from national insurance deductions. As from 6 April 2020 any non-contractual termination payments will be subject of 13.8% Class 1A national insurance deductions to the extent that they exceed the £30,000 exemption which also applies for income tax.
If you need advice in respect of the forthcoming changes or any employment matter speak to one of our Employment Solicitors, Paula Stuart on 01908 689345 or Stuart Snelson on 01908 689318.
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Paula Stuart | Partner