I've been passed the following link: www.techscheme.co.uk which suggests employees can sacrifice their salaries create savings when buying new tech (laptops, phones etc.)
I've had a look at the FAQs ont he website and I cannot see how this works, surely where the employee has a choice between the cash and the BIK, the ORA rules will come into effect and negate any obtainable tax advantage?
Do these kind of schemes just rely on the lack of policing of these rules?
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Agree that on the face of it, techscheme falls within the ORA rules
Why don't you contact them and ask how they make it work?
Well, if you read the blurb carefully (admittedly I haven't read all of it) there is no mention of a tax saving. It's all about an NI saving, whereas the ORA provisions are largely aimed at tax. The employee will still pay income tax - based on the higher of the asset cost and salary foregone - but no primary NI (on the sacrifice element). Employer will continue to pay secondary NI but as Class 1A.