Legislation at ITTOIA 2005, s. 38 to 44 has the effect of aligning, in specified circumstances, the time at which the employer can claim tax relief in respect of employee benefit contributions with the time at which the employee is taxed on remuneration received (see also MacDonald (HMIT) v Dextra Accessories Ltd [2005] BTC 355). The rules are intended to counter the delayed payment, or in some cases the permanent avoidance, of PAYE and NIC liabilities through the use of Employee Benefit Trusts (EBTs). Changes were made to the legislation by Finance Act 2011 to provide for the interaction between these provisions and the disguised remuneration rules.

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