Section 633 — Income Tax (Earnings and Pensions) Act 2003: Voluntary annual payments

Voluntary annual payments 633 1 This section applies to an annual payment which—

a is paid voluntarily, or b is capable of being discontinued, if conditions A and B are met.

2 Condition A is that the payment is paid to—

a a former employee or a former office-holder, b the widow or widower or surviving civil partner of a former employee or former office-holder, or c any child, relative or dependant of a former employee or a former office-holder.

3 Condition B is that the payment is paid by or on behalf of—

a the person—

i who employed the former employee, or ii under whom the former office-holder held the office, or b the successors of that person.

4 But this section applies to a payment which is paid by or on a behalf of a person who is outside the United Kingdom only if it is paid to a person resident in the United Kingdom.

5 In this section “ office ” includes in particular any position which has an existence independent of the person who holds it and may be filled by successive holders.