Changes to taxation of payments in lieu of notice

I was reading a recent blog post from Mondaq which advised employers that as from April 2018 all payments in lieu of notice will be taxable.

I am not able to copy any part of Mondaq’s post but decided that it would be good to visit some more open sources to see what information I could glean.

Understanding PILON: Payment in lieu of notice (from ACAS) does what it says – explains what the payment is, when it can/should be paid but does not mention tax.

Proposed Changes to UK Law on the Taxation of Payments In Lieu Of Notice from the National Law Review sets the proposed changes out in language I can understand. I like that it is not written in legalese.

PS. The search term I finally used in DuckDuckGo, "changes to UK taxation on PILONs" brought up a lot of sources so you may like to try for yourself if the above two are not sufficiently explanatory.

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