Final Pay Control Reclaims

Has your practice received a Final Pay Control charge since 1 April 2018? 

In our experience this has most often occurred when a practice manager or nurse partner has retired, and pensionable profits have risen in excess of the stated limits in the last few years before retirement. This can also happen for senior nurse grade or practice manager employees.  The charges on the practice can be significant.

A change of rule has been implemented with effect from 1 July 2021 that affords exemptions to the charge in certain circumstances where the increases for non-GP partners were caused solely by normal commercial fluctuations in profits.  Crucially, these exemptions have been backdated to 1 April 2018.

Consequently, if the practice has received a charge since 1 April 2018, it may be possible to appeal against it should the new exemptions apply.  The charge could potentially be removed entirely.  Should this be the case for your practice, please call your usual contact at MHA Moore and Smalley to discuss whether an appeal can be made.

It may be that you are aware of charges applying at other practices who would also benefit from our expertise .  Feel free to share this message with them as it is possible to provide a one-off consultancy service to assist in such matters.

Deadline!!

Should an appeal of the above nature be required, a deadline for previous years has been set at 31 December 2021.  There is therefore limited time to prepare and submit the appeal.  Action sooner rather than later is therefore required.

Further information

If you would like further information, then please contact David Walker, Senior Tax Manager – Healthcare Services on 01253 404404 or email david.walker@mooreandsmalley.co.uk