If somebody receives three years backpay from the Department of Social Wekfare, should this all be taxed in the year the person receives it ot could it be separated into the years to which the payment relates?
I think you should discuss your situation with the Tax Office (I have always found them very helpful). As there seems to have been an error on the part of the Pensions Office leading to payment of arrears you should not be penalised further by paying tax on the lump sum in one year, when it would be more beneficial to have it spread over the years in which it would have been due Nellie123