The season of goodwill is upon us, and so this week some good news!
The tax rules for giving small benefits to staff are being relaxed.
Benefits worth £50 or less will no longer trigger a tax and NI bill for staff.
There is currently no exemption for such benefits, it is possible to agree with HMRC that certain benefits are trivial, however this creates a lengthy process which is often out of line with the tax at stake.
Unfortunately the changes do not come into place until 6 April 2016, meaning that you cannot use these to provide Christmas gifts or similar to your staff.
However don’t forget the current exemption for annual events, which is still in place and will continue. This will enable you to provide a Christmas party for your staff with a cost of up to £150 per employee.
For more details contact Lesley Sutton on 01484 550037 or email email@example.com.