http://www.legislation.gov.uk/ukpga/2003/1/section/310/2024-10-21Income Tax (Earnings and Pensions) Act 2003An Act to restate, with minor changes, certain enactments relating to income tax on employment income, pension income and social security income; and for connected purposes.texttext/xmlenStatute Law Database2026-03-18Expert Participation2024-10-21 Part 4Employment income: exemptionsChapter 10Exemptions: termination of employment<Emphasis>Outplacement benefits</Emphasis>Counselling and other outplacement services3101No liability to income tax arises in respect of—athe provision of services to a person in connection with the cessation of the person’s employment, orbthe payment or reimbursement of—ifees for such provision, oriitravelling expenses incurred in connection with such provision,if conditions A to D and, in the case of travel expenses, condition E are met.2Condition A is that the only or main purpose of the provision of the services is to enable the person to do either or both of the following—ato adjust to the cessation of the employment, orbto find other gainful employment (including self-employment).3Condition B is that the services consist wholly of any or all of the following—agiving advice and guidance,bimparting or improving skills,cproviding or making available the use of office equipment or similar facilities.4Condition C is that the person has been employed ... in the employment which is ceasing throughout the period of 2 years ending—aat the time when the services begin to be provided, orbif earlier, at the time when the employment ceases.5Condition D is that the opportunity to receive the services, on similar terms as to payment or reimbursement of any expenses incurred in connection with their provision, is available—agenerally to employees or former employees of the person’s employer in that employment, orbto a particular class or classes of them.6Condition E is that the travel expenses are expenses—ain respect of which, on the assumptions in subsection (7), mileage allowance relief under Chapter 2 of this Part would be available if no mileage allowance payments had been made, orbwhich, on those assumptions, would be deductible under Part 5.7The assumptions are—athat receiving the services is one of the duties of the employee’s employment,bthat the employee incurs and pays the expenses, andcif the employment has in fact ceased, that it continues.8In this section “mileage allowance payments” has the meaning given by section 229(2).Word in s. 310(4) repealed (with effect in accordance with s. 18(5) of the amending Act) by Finance Act 2005 (c. 7), s. 18(2), Sch. 11 Pt. 2(1)Pt. 4 modified (10.6.2021) by Finance Act 2021 (c. 26), s. 26(3)