Part 3Employment income: earnings and benefits etc. treated as earnings

Chapter 5Taxable benefits: living accommodation

Calculation of cash equivalent

103Method of calculating cash equivalent

1

The cash equivalent is calculated—

a

under section 105 if the cost of providing the living accommodation does not exceed £75,000; and

b

under section 106 if the cost of providing the living accommodation exceeds £75,000.

2

Section 104 (general rule) sets out how to calculate the cost of providing living accommodation for the purpose of determining whether or not it exceeds £75,000.

3

In this Chapter—

  • “annual value”,

  • “person involved in providing accommodation”, and

  • “the property”,

  • have the meaning given by sections 110 to 113, and “the taxable period” has the meaning given by section 102(2).