PPRuNe Forums - View Single Post - Transferring a bond agreement - Shades of Grey by the UK taxman
Old 5th Jan 2013, 12:15
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John R81
 
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PT I am afraid that is the answer if the bond is settled for you.

Parabellum and Lowfat are assuming that the bond is not settled and there might be an option if the value of the bond against you is to continue, but the doorway is narrow and you need to fit exactly into it.

If the bond is not settled but purchased by the new employer then as Parabellum is thinking, there is no benefit. That applies only if the bond is assigned, i.e. the same contract you have with employer 1 continues with employer 2. Take a look at your contract and make sure that it does not preclude the assignment of the bond (with or without your consent). Then you just need employer 1 and2 to ply ball.

If the bond is paid by your new employer then a benefit arises, and taking on a new bond to your new employer does not involve you in meeting the expense met by your new employer relating to the old bond.

Practically these two routes achieve the same thing but the tax effect is not the same.
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