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Tax and deductions from pay

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  • Compromise payment not taxable

    Date:
    14 January 2005
    Type:
    Law reports

    The Court of Appeal has upheld the decision of the High Court in Wilson (HM Inspector of Taxes) v Clayton that a payment from an employer under a compromise agreement should be treated as a termination payment under s.403 of the Income (Earnings and Pensions) Act 2003.

  • Contract clause allowing deductions from wages to be made

    Type:
    Policies and documents

    A model contract clause allowing deductions from wages to be made from an employee's pay.

  • Contract clause on deductions from wages for unauthorised absence

    Type:
    Policies and documents

    A model contract clause on deductions from salary for unauthorised absence.

  • Contract clause on loans during periods of absence

    Type:
    Policies and documents

    A model contract clause on loans during periods of absence.

  • Accident loan form

    Type:
    Policies and documents

    A model accident loan form for use where a "loans during periods of absence" clause is in the contract of employment to enable the employer to deduct money from the employee's pay in respect of repayment of the loan.

  • Form for an employee to authorise deductions from wages

    Type:
    Policies and documents

    A model form for an employee to authorise deductions from wages.

  • Form for an employee to authorise deductions from wages in respect of private mileage

    Type:
    Policies and documents

    A model form for an employee to authorise deductions from wages in respect of private mileage.

  • Usetech Ltd v Young (Inspector of Taxes)

    Date:
    31 December 2004
    Type:
    Law reports

    In Usetech Ltd v Young (Inspector of Taxes) [2004] EWHC 2248 HC, the High Court found that where an individual provided his services through his own service company and an agency all the contracts were subsumed into one. The relevant terms identified and transferred to the notional contract between the individual and the hirer were consistent with those of an employment contract.

  • Smith v Kent County Council

    Date:
    31 December 2004
    Type:
    Law reports

    In Smith v Kent County Council [2004] EWHC 412 HC, the High Court held that the maximum lawful deduction from a teacher's wages in respect of her absence for one day on strike was 1/365th of her annual salary.

  • Guthrie v Scottish Courage Ltd

    Date:
    31 December 2004
    Type:
    Law reports

    In Guthrie v Scottish Courage Ltd [2004] All ER (D) 15 (Jun) EAT, the Employment Appeal Tribunal upheld a tribunal chair's decision that the employer had made an unlawful deduction from wages when it withheld company sick pay because it had reached a perverse conclusion that the employee's illness was not genuine.

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