Income Tax (Earnings and Pensions) Act 2003 section 563

Other interpretation

Section 563 defines key terms used throughout Part 7 of the Act when dealing with former employees, including what constitutes a former employer, post-employment earnings and relevant retirement benefits.

• "Former employment" means the specific job the individual has ceased to hold, while "former employer" is broadly defined to include the original employer, anyone now running that business, anyone who has assumed its liabilities, or anyone connected to those persons.
• "Post-employment earnings" covers any amount received after leaving employment that counts as general earnings for employment income purposes.
• A "relevant retirement benefit" is a benefit received under an employer-financed retirement benefits scheme that counts as employment income of the former employee under Chapter 2 of Part 6.
• The wide definition of "former employer" is particularly important, as it captures not only the original employer but also successor businesses, those who have taken on the employer's liabilities, and connected persons.