CIPP Payroll Reference Book 2021-22_v1_210701_MemberOnly

PART 2: TAX

• a payment towards any additional costs incurred (without supporting evidence) whilst working at home as long as this is regular and within the published levels • the cash equivalent of the benefit of providing pension information and advice in a year of assessment provided it is available to all employees • an annual function provided by the employer subject to a maximum expenditure per head (not just counting employees attending) per annum. As this is an exemption not an allowance if the cost per head exceeds £150 the whole amount is taxable. COPYRIGHT © 2021 THE CHARTERED INSTITUTE OF PAYROLL PROFESSIONALS See also Trivial Benefits below. Exempt Minor Benefits – Annual Thresholds Date from Long service Award 3rd Party gift (to value of) Pension advice (to value of) Cyclists’ breakfast* Additional expenses for Homeworkers Annual events (per head) No. p.a. -per week £20 £150 - - - £75 06/04/1999 6 - 06/04/2003 £250 no limit £2 £150

13/06/2003

£50

06/04/2005

£150

06/04/2008

£3

£4 No printing, copying or reproducti n permitted. Abolished* £500 £6

06/04/2012

06/04/2013

06/04/2017

06/04/2020

* abolished from April 2013

N.B. There is also no tax charge where employees use recreational facilities or receive free or subsidised meals on the premises of another employer, where the benefit is provided by that employer on the same basis for their own employees. The recreational facilities must not be open to the public to qualify. The OpRA rules apply which means that if the facility is provided under a salary sacrifice arrangement there will be a tax charge equating to the higher of the cost of the provision and the cash foregone.

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