Income Tax (Earnings and Pensions) Act 2003 section 393B

Relevant benefits

Section 393B defines "relevant benefits" for the purposes of the employer-financed retirement benefits scheme rules, sets out which benefits are excluded from that definition, and explains what constitutes a "relevant life policy".

• Relevant benefits include any lump sum, gratuity or other benefit (cash or non-cash) provided on or in anticipation of an employee's retirement, death, or change in the nature of their service, as well as benefits arising from a pension sharing order
• Benefits already taxed as pension income, benefits taxable under the non-UK schemes rules in Finance Act 2004, and "excluded benefits" are not treated as relevant benefits
• Excluded benefits cover ill-health or disablement benefits during service, death-by-accident benefits during service, benefits under a relevant life policy, and any benefits prescribed by HMRC regulations (which may have retrospective effect)
• A relevant life policy is broadly an excepted group life policy, or a single-life insurance policy meeting specific conditions about benefits and beneficiaries set out in ITTOIA 2005, or a policy that would qualify but for also providing an excluded benefit