As employment law solicitors, we regularly advise on redundancies and have encountered situations where employers would like to make redundancy payments, which include payment in lieu of notice (PILON). Where this occurs, it is normally stated in a compromise agreement that part of the redundancy pay is for notice pay. We would like to reiterate […]
Entries Tagged as 'Indemnity'
Employment Law, Redundancy, Payment in Lieu of Notice, Tax, National Insurance
April 10th, 2012 · 2 Comments · Compromise Agreement Solicitor, Compromise Agreement Solicitors, Compromise Agreements, Employment Lawyers, Employment Solicitors, HMRC, Indemnity, National Insurance Contributions, Payment in Lieu of Notice, Redundancies, Redundancy, Redundancy law, Redundancy Pay, Taxation
Tags: employment law·National Insurance·Payment in Lieu of Notice·Redundancy·Tax
Employment Law, Redundancy, Compromise Agreements, Tax Indemnity, HMRC
March 29th, 2012 · No Comments · Choosing an Independent Legal Advisor to provide Advice on the Terms of your Compromise Agreement, Compromise Agreement Solicitor, Compromise Agreement Solicitors, Compromise Agreements, Employment Lawyers, Employment Solicitors, HMRC, Indemnity, Redundancies, Redundancy, Redundancy law, Taxation
There is still some confusion around the fact that an employer will have a tax indemnity in a compromise agreement to ensure that if HMRC makes a demand for payment in tax in relation to a specific employee, that employer is indemnified. As UK employment law solicitors, we regularly advise employees facing redundancy on their […]
Tags: Compromise Agreements·employment law·HMRC·Redundancy·Tax Indemnity
Employment Law, Redundancy, Compromise Agreements, Tax Indemnity, HMRC
March 22nd, 2012 · No Comments · Choosing an Independent Legal Advisor to provide Advice on the Terms of your Compromise Agreement, Compromise Agreement Solicitor, Compromise Agreement Solicitors, Compromise Agreements, Employment Lawyers, Employment Solicitors, HMRC, Indemnity, Independent Legal Advice, Redundancies, Redundancy, Redundancy law, Redundancy Pay, Taxation
Matters relating to tax in redundancies and tax indemnities in compromise agreements can be tricky. Although compromise agreements usually state redundancy pay is in full and final settlement and there will be no deductions of tax from the redundancy payment, tax indemnities mean, if the calculations for redundancy pay are incorrect and HMRC has sent […]
Tags: Compromise Agreements·employment law·HMRC·Redundancy·Tax Indemnity
Employment Law, Indemnity, Tax, Compromise Agreement
January 11th, 2012 · No Comments · Compromise Agreement Solicitor, Compromise Agreement Solicitors, Compromise Agreements, Employment Lawyers, Employment Solicitors, HMRC, Indemnity, Independent Legal Advice, Redundancies, Redundancy, Redundancy law, Taxation
The issue of redundancy tax can be a confusing one. Compromise agreements usually contain tax indemnities, meaning if Her Majesty’s Revenue & Customs (HMRC) makes claims for penalties from an ex-employer, the ex-employee has to indemnify the ex-employer for any taxes due. This would apply if for example, there has been a miscalculation of taxes […]
Incorrect calculation of redundancy payment and negotiating with HMRC
October 26th, 2011 · No Comments · Calculating Redundancy Pay, Compromise Agreement Solicitor, Compromise Agreement Solicitors, Compromise Agreements, Employment Lawyers, Employment Solicitors, HMRC, Indemnity, Redundancies, Redundancy, Redundancy law, Redundancy Pay
Employers should allow employees the opportunity to communicate and/or negotiate with HMRC in the event that the calculations for redundancy pay are incorrect and HMRC has sent a demand or assessment to the employer (Past), on behalf of the employee. The preferred position is for the employee to deal directly with HMRC rather than the […]
Tags: employment law·HMRC·Incorrect Calculation·Negotiation·Redundancy Payment
Compromise Agreements, Enployment law, Redundancy, Negotiating Terms, Indemnity Clause
October 4th, 2011 · No Comments · Compromise Agreement Solicitor, Compromise Agreements, Employment Lawyers, Employment Solicitors, Indemnity, Redundancy, Redundancy law
Employees facing redundancy should be wary of indemnity clauses contained in their compromise agreements. We have seen employers use very wide indemnity clauses whereby the employees would be required to indemnify the employers for all losses in connection with breaches of the compromise agreements. Employees should seek legal advice with regard to such clauses to have such […]
Tags: Compromise Agreements·Enployment law·Indemnity Clause·Negotiating Terms·Redundancy