Introduction Details of the Section
2.Subsection 1 of the section inserts the words “in respect of the employee” at the end of Section 308 of Income Tax (Earnings and Pensions) Act 2003 (“ITEPA”). This means that an employee’s exemption from income tax on an employer’s contribution to a registered pension scheme will not apply where the contribution is made in respect of someone other than the employee.
3.Subsection 2 provides that the restriction has effect for the tax year 2013/14 and for subsequent tax years.