Frontier Mole wrote:If it is in lieu of salary I believe it is counted as earnings.
I think it comes down to the fact is the payment taxable or not. If it is a PAYE amount then it is earnings. If it is a redundancy compensation amount up to £30K it is not taxable so is not considered as "income" - someone like JOHN will know the answer.....
I think you and John are right. When I got my redundancy as you say the first 30K is tax free, when I got my p60, that amount didn't show up and so you don't normally have an ability to declare in an extension because of documentation issues.
However, if you want to make a case for it, I guess you can try and say it is redundancy it is money that you got in lieu of pay and should be included in the amount of your earnings for the purposes of your application.
Thus, I'd say no technically but it could be considered as an exception to the rule and if you need the amount to get your extension I'd go for it.
Why don't you email the HO and ask them and if you are lucky and they say yes, then you can include the email in your application to avoid getting a less sympathetic caseworker.