Textual Amendments
F1Words in Pt. 6 Ch. 2 heading substituted (6.4.2006) by Finance Act 2004 (c. 12), ss. 249(2), 284(1) (with Sch. 36)
(1)If a benefit to which this Chapter applies is received by an individual, the amount of the benefit counts as employment income of the individual for the relevant tax year.
[F2(1A)Subsection (1) does not apply in relation to the benefit if the total amount of the benefits to which this Chapter applies received by the individual in the relevant tax year does not exceed £100.]
(2)If a benefit to which this Chapter applies is received by a person who is not an individual, the [F3person who is (or persons who are) the responsible person in relation to] the scheme under which the benefit is provided is chargeable [F4to income tax] on the amount of the benefit for the relevant tax year.
(3)In [F5this section] the “relevant tax year” is the tax year in which the benefit is received.
(4)For the purposes of subsection (2), the rate of tax is 40% or such other rate as may for the time being be specified by the Treasury by order.
(5)No liability to income tax arises by virtue of any other provision of this Act in respect of a benefit to which this Chapter applies.
Textual Amendments
F2S. 394(1A) inserted (6.4.2006) by Finance Act 2004 (c. 12), ss. 249(5), 284(1) (with Sch. 36)
F3Words in s. 394(2) substituted (6.4.2006) by Finance Act 2004 (c. 12), ss. 249(6), 284(1) (with Sch. 36)
F4Words in s. 394(2) substituted (6.4.2005) by Income Tax (Trading and Other Income) Act 2005 (c. 5), s. 883(1), Sch. 1 para. 595 (with Sch. 2)
F5Words in s. 394(3) substituted (6.4.2006) by Finance Act 2004 (c. 12), ss. 249(7), 284(1) (with Sch. 36)
Modifications etc. (not altering text)
C1S. 394 restricted (22.7.2004) by Finance Act 2004 (c. 12), Sch. 36 paras. 54(2)(3)(a), 55(2) (with s. 283(5), Sch. 36)