EIM06473 - Employment Income: sick pay and injury payments: provision through a salary sacrifice arrangement

Tax Treatment of sick pay received after the employment has terminated

Sick pay received by a former employee after their employment has terminated is outside the scope of section 62 and section 221 ITEPA 2003. The payments may be charged to Income Tax under chapter 7 of part 5 ITTOIA 2005 as annual payments (link to IPTM6100).