Part 6Employment income: income which is not earnings or share-related

Chapter 3Payments and benefits on termination of employment etc.

Preliminary

401Application of this Chapter

1

This Chapter applies to payments and other benefits which are received directly or indirectly in consideration or in consequence of, or otherwise in connection with—

a

the termination of a person’s employment,

b

a change in the duties of a person’s employment, or

c

a change in the earnings from a person’s employment,

by the person, or the person’s spouse F1or civil partner, blood relative, dependant or personal representatives.

2

Subsection (1) is subject to subsection (3) and sections 405 to F2414A (exceptions for certain payments and benefits).

3

This Chapter does not apply to any payment or other benefit chargeable to income tax apart from this Chapter.

4

For the purposes of this Chapter—

a

a payment or other benefit which is provided on behalf of, or to the order of, the employee or former employee is treated as received by the employee or former employee, and

b

in relation to a payment or other benefit—

i

any reference to the employee or former employee is to the person mentioned in subsection (1), and

ii

any reference to the employer or former employer is to be read accordingly.