SE12850 - Termination payments and benefits: the most common payments and benefits taxable in full
Section 19 ICTA 1988
The most common termination payments within SE12810 which are taxable in full under Section 19(1)1 ICTA 1988 are shown below.
| Type of payment | Notes | Guidance |
| A payment received
under the terms and conditions of service. Such terms may be in the
main contract document or elsewhere, for example in a Staff
Handbook or Letter of Appointment.
See example SE13920 | Most such payments are taxable under Section 19 but exceptions are redundancy payments (see SE13750) and lump sums from pension schemes approved by IR SPSS (Nottingham) | SE00610
SE13920 |
| A non-contractual payment which the employer is accustomed to make and/or which the employee could reasonably have expected to receive |
| SE00640
SE12977 |
| A payment made to induce an employee take up an employment | The payment is an emolument from the new employment | SE00700 |
See SE12950 for information concerning payments made under the Employment Rights Act 1996
