Income Tax (Earnings and Pensions) Act 2003 (c. 1)

Part 5 U.K. Employment income: deductions allowed from earnings

Chapter 3 U.K. Deductions from benefits code earnings

Deductions where amounts treated as earnings under the benefits code U.K.

363 Deductions where credit-token provided U.K.

(1) A deduction from earnings is allowed if—

(a) the earnings include an amount treated as earnings under section [F1 94(1) or 94A(1) (amount in respect] of benefit of credit-token treated as earnings), and

(b) had the employee incurred and paid the cost of the goods or services obtained by using the token, the whole or part of the amount paid would have been deductible from the earnings under Chapter 2 or 5 of this Part.

(2) The deduction is equal to the lesser of—

(a) the amount treated as earnings, and

(b) the amount that would have been so deductible.

Textual Amendments

F1 Words in s. 363(1)(a) substituted (with effect in accordance with Sch. 2 para. 62 of the amending Act) by Finance Act 2017 (c. 10), Sch. 2 para. 56