Antony Atack

As a result of the sale of the business I have an employee who is entitled to a small share of the sale proceeds as a contractual entitlement. As such it will be payed through PAYE. To ensure staff retention the payment will be staged so that 2/3 will be paid in the 24/25 tax year and 1/3 of the payment will be made 10 months later in the 25/26 tax year. I believe that for corporation tax purposes the whole sum has been correctly to the 24/25 tax year when the business sale was completed. From an HMRC perspective is this type of staged payment acceptable or should it be made as a single payment in the 24/25 tax year.