HMRC offers guidance on employer contributions

The section of the Registered Pension Schemes Manual (RPSM) which deals with employer contributions after A-Day, was published in December and stated contributions to pension schemes would be eligible for tax relief providing they are “wholly and exclusively” for the purpose of trade. But the guidelines set out in the Business Income Manual (BIM) which determines what contributions are allowable, is extensive and quite complex covering areas such as “intrinsic duality of purpose”, which includes areas such as warmth and decency and natural love and affection. HMRC says it has now publis...