Part 2Employment income: charge to tax
F1Chapter 9Managed service companies
The deemed employment payment
61FSections 61D and 61E: application of rules relating to earnings from employment
(1)
The following provisions apply for the purposes of sections 61D and 61E.
(2)
A “payment or benefit” means anything that, if received by an employee for performing the duties of an employment, would be general earnings from the employment.
(3)
The amount of a payment or benefit is taken to be—
(a)
in the case of a payment or cash benefit, the amount received, and
(b)
in the case of a non-cash benefit, the cash equivalent of the benefit.
(4)
The cash equivalent of a non-cash benefit is taken to be—
(a)
the amount that would be general earnings if the benefit were general earnings from an employment, or
(b)
in the case of living accommodation, whichever is the greater of that amount and the cash equivalent determined in accordance with section 398(2).
(5)
A payment or benefit is treated as received—
(a)
in the case of a payment or cash benefit, when payment is made of or on account of the payment or benefit;
(b)
in the case of a non-cash benefit, when it would have been treated as received for the purposes of Chapter 4 or 5 of this Part (see section 19 or 32) if—
(i)
the worker had been an employee, and
(ii)
the benefit had been provided by reason of the employment.