09/06/2011

Decision 'Reserved' On Police Gratuity

No news isn't good news for hundreds of former part-time RUC police officers, as imminent gratuity payments look set to be taxed at source despite similar past payments being exempted.

The DUP Lagan Valley MP, Jeffrey Donaldson has slammed the 'deafening silence' from the UK Government the Revenue Commissioners after he was unable to get any confirmation over the likely taxation of one-off payments for former members of the RUC Part Time Reserve.

It now looks like they will be taxed - despite other payments to ex-RUC officers and Army (RIR) members being exempt.

Mr Donaldson - a former UDR soldier himself - said: "I believe the silence on this issue speaks volumes. There is simply no excuse as to why these payments will be taxed when other similar payments were exempt.

"It is clearly embarrassment which is behind this stonewall response from Westminster on the issue," he said.

"Since I and my colleagues first started to work on this issue and after finally securing the payments we have been absolutely clear that the Government should ensure they were not subject to tax.

"Unfortunately there has not been a willingness to place the same provisions on these payments as were extended to others who served their community in Northern Ireland," he fumed.

"I firmly believe that the Secretary of State for Northern Ireland must intervene in this matter and ensure that he is fighting the case for those members of the Part Time Reserve to be treated fairly and equitably after the service they provided in keeping the community in Northern Ireland safe through the dark days of the troubles."

Recognition

Despite previous assurances they would not be cut, Ross Hussey, who is Chairman of the RUC GC Part Time Officers Welfare Group previously confirmed that the payments part time members will be receiving from HM Government in respect of the gratuity scheme will be subject to tax and National Insurance.

Last week, the West Tyrone Ulster Unionist Assemblyman commented: "We have been fighting for years for some form of recognition of the service of the part time RUC Reserve.

"Following a long campaign a settlement from then Prime Minister, Gordon Brown in order to bring the Hillsborough Agreement and the devolution of policing and justice into being," he said.

"A figure of £20,000,000 was agreed - the Prime Minister's letter was quite specific that he was prepared to set aside this money to fund the scheme.

"At no time was it suggested that tax and national insurance payments would be deducted.

"We have always believed our case to be a special case. The final settlement figure when the tax and national insurance liabilities are calculated is likely to be just over £11,000,000." he fumed.

"The tax, national insurance and the administration fee will eat up approximately £9,000,000 of the available fund.

"I am extremely disappointed at HM Government for their inability to recognise the nature of this payment and recognise the contribution to society made by the part time Reserve," he concluded.

See: Taxing Time For RUC Reservists

(BMcC/GK)

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