Part 5Employment income: deductions allowed from earnings
Chapter 3Deductions from benefits code earnings
Deductions where amounts treated as earnings under the benefits code
365Deductions where employment-related benefit provided
1
A deduction from earnings is allowed if—
a
the earnings include an amount treated as earnings under Chapter 10 of Part 3 (taxable benefits: residual liability to charge) in respect of a benefit, and
b
had the employee incurred and paid the cost of the benefit, the whole or part of the amount paid would have been deductible under Chapter 2 or 5 of this Part.
2
The deduction is equal to the amount that would have been so deductible.
3
For the purposes of this section, the cost of the benefit is determined in accordance with sections 204 to 206.