HR News - Employment

    View Authors March 2011
    As the law currently stands, if an employer makes a termination payment to an employee after the P45 has been issued, and the payment is taxable (in whole or in part), it is required to deduct tax at basic rate only. This can result in a cash flow advantage for higher paid employees, since it is not until well after the end of the tax
    year that any balance becomes due.