News

Reporting benefits is getting easier

There are a number of welcome changes being made to the taxation of benefits on employees and directors with effect from 6 April 2016. The changes have largely arisen from the work of the Office of Tax Simplification. One in particular will provide much more certainty in the taxation of benefits – a new statutory exemption for ‘trivial benefits’. In practice HMRC have accepted that non-cash trivial benefits that are more related to staff welfare, rather than being a reward for services, did not have to be reported on form P11D. But, under tax law, any small benefit could have been taxable.

With effect from 6 April 2016 there will be a statutory exemption for certain non-cash benefits up to £50. There is an annual cap of £300 which applies to some people – office holders (eg directors) of close companies (typically family companies) and employees who are family members of those office holders. Those affected by this cap will be able to receive a maximum of £300 worth of trivial benefits each year exempt from tax. So trivial benefits are not so trivial.

Back to News

News

Coronavirus/COVID-19: Latest Update – Summary of Finance and Business Measures

This article summarises the business support measures the UK and Scottish governments, along with other NGBs and organisations have introduced as a result of the COVID-19 outbreak. Last updated 28 October: Coronavirus Business Contingency Fund (Scotland only) is announced offering support for softplay centres and nightclubs   For each measure we have listed the date of […]


Blog

Tax and Crypto Assets

2009 saw the launch of Bitcoin. Originally seen as being just for geeks and possibly hackers, crypto assets are becoming more common and even considered mainstream by many. HMRC has noted this increased interest in crypto assets. If you invest or trade in crypto assets and you pay taxes in the UK, you need to […]