From 6 April 2017, the Income Tax and NICs advantages where benefits are provided through arrangements in which the employee gives up the right to an amount of earnings in return for a benefit are largely withdrawn. Guidance on optional remuneration arrangements from 6 April 2017 starts at EIM44000.
Transitional provisions apply for a limited period. Where the benefit is living accommodation, the transitional rules apply up to 5 April 2021. For further details see EIM44030.
Certain benefits in kind are excluded from the changes. For further details see EIM44130.