SE70400 - Tax treatment of steel industry employees: redundancies
Steel Industry employees may be entitled to payments under
schemes set up by the European Community (Iron and Steel Employees
Re-adaptation Benefits Scheme).
The tax treatment of these payments is as follows:
| Type of payment | Tax treatment |
| Payments to the employed, self-employed or unemployed | Taxable under Schedule E |
| Payments during retraining | Taxable only under Section 148 ICTA 1988 |
| Grants to employees who are transferred | Taxable under Schedule
E but:
- for transfers up to 5.4.1993, only to the extent that the relocation and disturbance exceeds the amount which appears to the Inspector reasonable in all the circumstances - for transfers on or after 6.4.1993, exemption for the first £8000 of expenses may be available under Schedule 11A ICTA 1988 (see SE03103 and subsequent guidance). |
