New tax free limit for company loans
Employers are now able to help staff with tax-free loans of up to £10,000 for items such as travel season tickets after the chancellor doubled the limit on benefit-in-kind loans. Legislation was introduced in the 2014 finance bill to increase the tax threshold on low or no-interest loans provided by employers to their staff. The change came into effect from 6 April.
According to their reckoning the government expects 7,000 employers to benefit from the measure and aims to cut their overall administrative costs by £600,000 per year.
Up to now the threshold had remained at £5000 for nearly twenty years. One of the many thresholds that has not kept pace with inflation or even reality....a higher paid employee being one earning over £8500 being the most starkly ludicrous example of this.
Many firms offer loans to help their staff buy annual travel passes, cars for business use or company shares.
Click here to download a PDF of this tax tip
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sad
So football season ticket holders are hooligans? What an inept headline.
Lazy stereotyping..
...to borrow the writer's style - typical superior rugby attitude