Mum and dad are company directors and kindly splash out 10 x £50.00 in trivial benefits to employees. Their son is an employee in the business but dad is keeping all the trivial benefits up to £300 for himself and mum is doing likewise. The son is complaining bitterly that this is discriminatory and he should be treated like all the other workers.
Have mum and dad got it wrong by limiting trivial benefits in this way or does the family cap not apply because the son is a genuine employee?
Replies (6)
Please login or register to join the discussion.
Is the son really an employee? If so his Ts & Cs will say what the entitlement is. If he is entitled then the tax is a consequence not should not be a determiner to initiate a discriminatory deduction from emoluments.
However is the son is a waster and can only work for Mum & Dad I agree with the Lion.....
No employee is entitled to trivial benefits - that is the whole point. If there is entitlement then the benefit is taxable!
Jeez - I bet HMRC wish they'd never started with BIK assessments on cups of tea at the employee's desk.
It's grown into a huge monster!!