Legislation at CTA 2009, s. 1290 to 1297 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 FA 2011 to provide for the interaction between these provisions and the disguised remuneration rules.

Need help? Get subscribed!

To subscribe to this content, simply call 0800 231 5199

We can create a package that’s catered to your individual needs.

Or book a demo to see this product in action.