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Entertaining, parties, gifts and awards ― overview

Produced by a Tolley Employment Tax expert
Employment Tax
Guidance

Entertaining, parties, gifts and awards ― overview

Produced by a Tolley Employment Tax expert
Employment Tax
Guidance
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When an employee is provided with entertainment, a gift or an award as a result of their employment, the default position is that a taxable benefit arises. Assuming no exemption applies, the employer reports the award on the P11D. In the absence of any other calculation methodology provided by legislation, the employee will be taxed based on the cost of the award to the employer or provider, see the Cost to provider and money’s worth guidance note.

How is PAYE applied to these benefits?

As entertaining, parties, gifts and awards include a wide

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  • 17 Nov 2022 12:03

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