Her Majesties Mafia (aka HMR&C)

Discussion in 'Army Pay, Claims & JPA' started by fingers_1661, May 29, 2008.

Welcome to the Army Rumour Service, ARRSE

The UK's largest and busiest UNofficial military website.

The heart of the site is the forum area, including:

  1. Further to the information given in the below thread; I'm curious as to how HMRC can tax service pensions yet refuse to pay child benefit (or any other benefit) to eligable expats living outside the EU, given;

    a) 22 year pensioners automatically transfer to the reserve until 60.

    b) Reserve service is a continuation of Crown Service therefore individuals have an unbroken contract with the crown from date of enlistment.

    c) Service pensions are deferred payments according to article 119 of the treaty of Rome, therefore by definition b) is paid service.

    Am I barking up the wrong tree or is there a case to answer?

    (Note: An ex-service friend works for HMG outside the EU. His duties are deemed Crown Service but they're refusing to pay child benefit for children born after he started the job because he was recruited outside the UK,albeit on Soverign British territory)

  2. I could be wrong on this, but reserve service is only applicable if you leave colour service before the 22 year point. If you serve 22 years and draw immediate pension, there is no commitment to reserve service :?

    I pretty sure this is the case, although prepared to be proved wrong
  3. Military pensioners enlisted prior to 01 Apr 97 have a Pensioner Reserve liability until 60 but are unlikely to be called after 55.... unless Germany goes for the hat-trick:)
  4. Bump.

    The guy mentioned in the OP may sue HMRC to recover income tax since discharge if his (2 years to date) appeal against their decision to refuse to pay child benefit fails.

    (HM Commissioner ruled in Feb that HMRC can't use one set of rules to tax someone & another set to deny them benefitting from those taxes).

    Any comments from tax gurus would be appreciated.