Part 20General calculation rules

C1Chapter 1Restriction of deductions

Annotations:
Modifications etc. (not altering text)
C1

Pt. 20 Ch. 1 applied by 1989 c. 26, s. 85(2BA) (as substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 348(4) (with Sch. 2 Pts. 1, 2))

Employee benefit contributions

1293Timing and amount of certain qualifying benefits

1

If the provision of a qualifying benefit—

a

takes the form of a payment of money, and

b

is not made under an employer-financed retirement benefits scheme,

the benefit is provided for the purposes of section 1290 when the money is treated as received for the purposes of Chapter 4 of Part 2 of ITEPA 2003 (applying the rules in section 18 of that Act (receipt of money earnings)).

2

If the provision of a qualifying benefit takes the form of a transfer of an asset, the amount provided for the purposes of section 1290 is the total of—

a

the amount (if any) spent on the asset by a scheme manager, and

b

in a case where the asset was transferred to a scheme manager by the employer, the amount of the deduction that would be allowable as mentioned in subsection (1) of that section in respect of the transfer.

3

But if the amount given by subsection (2) is more than the amount that—

a

is charged to tax under ITEPA 2003 in respect of the transfer, or

b

would be so charged if condition B in section 1292 were met,

the deduction allowable under section 1290(2) or (3) is limited to that lower amount.