CIRD12630 - Core computational rules: deductible debits: general matters and adjustments for tax purposes: disallowance of expenditure: non-approved non-taxable retirement benefits

FA02/SCH29/PARA112 (2)(d)

Debits that would otherwise be deductible under Schedule 29 are disallowed if they arise from expenditure in connection with non-approved retirement benefits falling within FA89/S76 (1) to (3). Broadly that is expenditure that does not give rise to a charge to tax under Schedule E on the employee in question, see IM8413.

This rule may be in point where unapproved benefits are provided for company staff in a department responsible for the company’s intangible assets and the expenditure falls within CIRD12250 (on the maintenance or enhancement of intangible fixed assets).

See CIRD12640 for the deferral of a deduction for debits relating to other expenditure on providing retirement benefits.