Taxable value of childcare vouchers.
The law on this seems clear at first sight: The taxable value of vouchers is the cost to the employer.
However I have read in Pay Magazine that some Revenue Inspectors assume the administration fee is part of the cost of paying the employee, rather than being a cost of teh specific benefit. This approach would lead to the employee being taxed only on the face value of the voucher.
I think IR statement of practice 6/85 muddies the waters as it says:
"The expenses which should be included in the measure of liability are those which contribute more or less directly to the benefit received by the employee".
However that SP6/85 also says that the employer must include the cost of buying the services.
- Childcare vouchers 356 8
- Is this a qualifying loan for interest deductions? 52 2
- New Enterprise Allowance 58 1
- VAT Notice 700/64 - claiming VAT on motor repairs 47 1
- two business from one premises 173 3
- VAT transfer on going concern on incorporation 38 1
- SELLING A PROPERTY at LOSS/PROFIT - CAP GAINS ALLOWANCE 239 4
- HMRC property income enquiry 396 9
- 10 Worst xmas presents for an accountant 323 4
- Merry Christmas 106 2
- THEATRE SHOW - HIRE - VAT PAYABLE ON TICKET SALES 79 3
- New Incorporations - ERTNAC hoax - anyone else seen this? 1,079 12
- Anyone else still working this week? 414 13
- LTD home office - would HMRC seek to disallow 1,427 9
- Using home as clients registered address 155 3
- Client being taken to court and really do not know what to do 541 12
- Section 165 TCGA 1992 - time limit? 117 2
- How much does the company pay 722 30
- AIA 293 18
- Van Benefit in Kind Query 183 5
- Accounting referance change & deficient accounts. 506
- corporate hierarchy 470
- Advice - 325
- Anyone had HMRC refusing to act on EPS database glitch? 274
- WWOOFers 265
- The booking.com con 248
- Art Gallery - Splitting a property between business and personal use 243
- Cocaine anyone? 230
- Tax liabilities in USA for warehoused products 219
- UK State pension paid in NZ 177