Section 62 ITEPA 2003

EIM01450 gave examples of the type of gift, or voluntary payment, which count as earnings within Section 62 ITEPA 2003 (see generally EIM00520 onwards).

A gift does not count as earnings within section 62 if it's made:

on personal grounds (for example, a wedding present)

as a mark of personal esteem or appreciation

It is not possible to list factors that will determine with certainty whether or not a gift is taxable as earnings. In those cases where the courts held that a gift to an employee was not taxable, the facts tended to be special. The main cases where gifts were held not to be taxable are shown in the following table.

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