Bank payroll tax

The bank payroll tax was a one-off tax that was introduced in the United Kingdom in 2010. The tax comprised a rate of 50% applied to bank bonuses exceeding £25,000 and charged to the employing company. The tax was introduced via legislation in the Finance Act 2010 section 2 and Schedule 1. The tax was non-deductible against corporation tax to the company effectively increasing its cost to 69.4% for a company with current taxable profits.

See also

• Taxation in the United Kingdom
• UK labour law

Notes

References

• http://www.hmrc.gov.uk/pbr2009/index.htm
• QuickBooks Payroll Support