Deductions in United Kingdom

Definition of Deductions

Deduction (from Lat. deducere, to take or lead from or out of, derive), a term used in common parlance for the process of taking away from, or subtracting (as in mathematics), and specially for the argumentative process of arriving at a conclusion from evidence, i.e. for any kind of inference. In this sense it includes both arguments from particular facts and those from general laws to particular cases. (1)

In accordance with the work A Dictionary of Law, this is a description of Deductions :

(in employment law) Sums deducted from an employee’s wages. The Employment Rights Act 1996 provides strict rules on what can be deducted from wages. Permitted deductions include those for income tax, national insurance, and pension contributions (for employees who have agreed to be part of an employer’s pension scheme). Deductions are also allowed when there has been an overpayment of wages or expenses in the past, when there has been a strike and wages are withheld, or when there is a court order, such as an order from the Child Support Agency or a court attachment of earnings order. There are special rules for those in retail employment. These provide, for example, that deductions of up to 10%may be made from gross wages for cash shortages or stock deficiencies.

Resources

Notes and References

1. Encyclopedia Britannica (1911)

See Also

Further Reading