IHR

[mudmonster]

Hello ,After some advice ,Been offered IHR 34 weeks lump sum + 12 weeks pile on ,is this all tax free or what
many thanks

[2old4this]

Hello ,After some advice ,Been offered IHR 34 weeks lump sum + 12 weeks pile on ,is this all tax free or what
many thanks

Far as I know anything under £30, 000 is tax free, unless as Robert pointed out its your pension lumpsum.

My last day is 30th I got 6 months + 9 wks pilon. + pension was told pension will contact me in next couple of months to find out which pension option I want to take.

[RobertT]

As far as I’m aware IHR payments are tax free, there may well be a £30k limit but without checking I’m not 100% sure. But as IHR is normally 34 weeks pay most people won’t hit £30k anyway. The PILON would be taxable because it counts as normal earnings.

Pension commencement lump sums i.e the 25%, is all tax free.

Redundancy payments are the first £30k tax free everything over that is taxable.

[mudmonster]

Thanks Robert T ,I phoned HR today,they informed me everything is Tax free even the pile on,A union bod said the same as you,who to believe I think I will go with your thoughts on this one