HMRC More Useful Expenses Guide

[uptonaccountants.com]

From Accountingweb......

HMRC has produced new online guidance on the correct treatment of a wide variety of employee expenses and benefits in kind. The guidance is in alphabetical search list, and details the correct tax and NIC treatment for employees earning less than £8,500 per annum in addition to directors and employees earning more than this rate. The guidance on each topic is all organised in one place making it much easier to reference. For example, the page on mobile phones (under M, but also T) includes help on phones in the company name, employee contract phones paid direct by the company, employee contract phones reimbursed to the employee and pay as you go phones.

The relevant box references for forms P9D and P11D are included together with details of whether tax and NIC are due by the employer. There is detailed guidance on each page of the £8,500 test and links to the HMRC Employment Income Manual for more detail. There are also links to material on dispensations where appropriate. All in all this is an excellent resource and will make life much easier for employers. It may well find its way onto the Employer CD-ROM next year, and it would be good to know that employers will make wide use of the development time that has been invested in this content.

................link to the guide here