Litigation Recent Decisions 4/11/97

Whether a payment in lieu of notice is a taxable emolument

EMI Group Electronics v Martin Coldicott (1997)

Court: Ch.D (Neuberger J) 22/10/97

Appearances: Michael Flesch QC and Conrad McDonnell instructed by Rowe & Maw for the appellant. Launcelot Henderson QC and Timothy Brennan instructed by the solicitor for Inland Revenue for the respondents.

Summary: Whether a payment in lieu of notice to an employee is a taxable emolument from which an employer is responsible for deducting the tax before payment.