Mistake in Redundancy DIN
I take it most people are aware of the possible error in the Redundancy DIN? It states the Special Capital Payment (ie Redundancy payment) is TAX FREE. This is incorrect as only the first £30K of any redundancy payment (inc cash value of any other 'gifts') is tax free. Above that threshold, amounts are taxed at 40% I believe and it's then up to you to claim back any money due. This could have implications for some higher ranked redundees. I'm sure Al could clarify?
See
http://www.hmrc.gov.uk/guidance/redu...-factsheet.pdf