Long service award

Long service award

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The sole director of a client company has just asked me if he can have £1,000 tax free as a long service award (20 years service).  I can see that this is available to employees (up to £50 per year of service) but can't seem to find anything that includes or excludes a sole director of a close company.  Can anybody help?

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By stratty
22nd Apr 2015 17:48

Helpsheet 207

Long service awards Long service awards made to directors and employees as testimonials to mark long service where the service is not less than 20 years and no similar award has been made within the previous 10 years. These have to be: • tangible articles of reasonable cost, or • shares in an employing company (or another company in the same group). The cost of an article is taken as reasonable where it does not exceed £50 for each year of service.

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By johngroganjga
23rd Apr 2015 15:57

And nothing to stop the farce of a sole director and shareholder obtaining tax relief on making an award to his own self?

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By Portia Nina Levin
24th Apr 2015 15:28

(No subject)

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By carol_ine
24th Apr 2015 13:45

Thank you for your comments.

 

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By carol_ine
24th Apr 2015 14:26

I have found out the period of service is actually 35 years.  Can you point me to where it says the maximum period is 20 years as I can't find any restriction listed.

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