Broadly, the employer’s contribution will be wholly and
exclusively for the purposes of the trade if the contribution paid
in respect of a controlling director or a connected employee is in
line with a contribution that would have been made for an
unconnected employee in a similar situation.
General guidance on employer's contributions to a registered pension scheme is set out in the Business Income Manual at BIM46000 onwards.
An inspector who is considering a review or challenge to the allowability of an employer deduction should follow the guidance at BIM46005.
|Glossary ( RPSM20000000)|