SE15070 - Non-approved retirement benefits schemes: repayment claims

Section 596(3) ICTA 1988

Repayment of Schedule E tax may be made in some circumstances if an employee does not receive benefits from a non-approved “retirement benefits scheme”. If an employee has been charged under Section 595(1) ICTA 1988 on employer contributions made to provide relevant benefits (following SE15040) and the employee shows that:

• some event has subsequently occurred by reason of which no relevant benefits will become payable (for example, the scheme folds) and
• no payment has been received by the employee in respect of or in substitution for those benefits

then relief may be claimed.

This claim must be made within six years of the date on which the event occurred. Relief is given by discharge or repayment of the tax suffered under Section 595(1) ICTA 1988.

Send any such claim to Employment Income Technical with a full explanation of the circumstances.