Income and Corporation Taxes Act 1988

[F1 203G PAYE: non-cash vouchers. U.K.

(1) Where a non-cash voucher to which this section applies is received by an employee, the employer shall be treated, for the purposes of PAYE regulations, as making a payment of assessable income of the employee of an amount equal to the amount ascertained in accordance with section 141(1)(a).

(2) This section applies to a non-cash voucher to which section 141(1) applies if—

(a) either of the two conditions set out below is fulfilled with respect to the voucher; and

(b) the voucher is not of a description for the time being excluded from the scope of this section by PAYE regulations.

[F2 (3) The first condition is fulfilled with respect to a non-cash voucher if it is capable of being exchanged for anything which, if provided to the employee at the time when the voucher is received, would fall to be regarded as a readily convertible asset for the purposes of section 203F.

(4) The second condition is fulfilled with respect to a non-cash voucher if (but for section 203F(4)(b)) it would itself fall to be regarded as a readily convertible asset for the purposes of section 203F.

(5) Subsection (5) of section 141 (time of receipt of voucher appropriated to employee) shall apply for the purposes of this section as it applies for the purposes of subsections (1) and (2) of that section.]]

Textual Amendments

F1 S. 203G inserted (3.5.1994) by Finance Act 1994 (c. 9), s. 128

F2 S. 203G(3)-(5) substituted for s. 203G(3)(4) (with effect in accordance with s. 68(4) of the amending Act) by Finance Act 1998 (c. 36), s. 68(1) (with s. 68(5))