Commentary on Sections Overview Chapter 4: Rules restricting deductions Section 1250: Unpaid remuneration: supplementary
3160.This section provides definitions and further explanation of the main rule in section 1249. It is based on section 44 of FA 1989. The corresponding rule for other businesses (based on section 43 of FA 1989) is in section 1289.
3161.Subsection (1) applies section 1249 to provisions made in the accounts for amounts that may become employees’ remuneration.
3162.Subsection (3) deals with the case in which the company submits its tax return before the end of the nine month limit in section 1249(2) and all or any of the remuneration is unpaid. The company must assume the remuneration will remain unpaid. If, subsequently, the remuneration is paid within the time limit the calculation can be adjusted and the return amended. See Change 68 in Annex 1.