Part 4Employment income: exemptions
Chapter 6Exemptions: non-cash vouchers and credit-tokens
General exemptions: use for exempt benefits
266Exemption of non-cash vouchers for exempt benefits
1
No liability to income tax arises by virtue of Chapter 4 of Part 3 (taxable benefits: vouchers and credit-tokens) in respect of a non-cash voucher if or to the extent that the voucher is used to obtain anything the direct provision of which would fall within—
a
section 237(1) (parking provision),
b
section 246 (transport between home and work for disabled employees: general),
c
section 247 (provision of cars for disabled employees),
d
section 248 (transport home: late night working and failure of car-sharing arrangements), or
e
section 265 (third party entertainment).
2
No liability to income tax arises by virtue of Chapter 4 of Part 3 (taxable benefits: vouchers and credit-tokens) in respect of a non-cash voucher if the voucher evidences the employee’s entitlement to use anything the direct provision of which would fall within—
a
section 242 (works transport services),
b
section 243 (support for public bus services), or
c
section 244 (cycles and cyclist’s safety equipment).
3
No liability to income tax arises by virtue of Chapter 4 of Part 3 (taxable benefits: vouchers and credit-tokens) in respect of a non-cash voucher if the voucher can only be used to obtain anything the direct provision of which would fall within—
a
section 245 (travelling and subsistence during public transport strikes),
b
section 261 (exemption of recreational benefits),
c
section 264 (annual parties and functions),
d
section 296 (armed forces' leave travel facilities), or
e
section 317 (subsidised meals).
4
No liability to income tax arises by virtue of Chapter 4 of Part 3 (taxable benefits: vouchers and credit-tokens) in respect of a non-cash voucher if the voucher evidences the employee’s entitlement to a benefit in respect of which no charge arises by virtue of Chapter 10 of Part 3 (taxable benefits: residual liability to charge) because of regulations under section 210 (power to exempt minor benefits).
5
For the purposes of this section direct provision is taken to fall within a section if it would do so if the employee were not in excluded employment.