1.—(1) Subject to sub-paragraph (2), a non-cash voucher provided, to or for the benefit of the employed earner, by the employer or any other person on his behalf is to be disregarded in the calculation of an employed earner’s earnings by virtue of paragraph 1 of Part II only if it falls within any of paragraphs 2 to 8.U.K.
(2) A non-cash voucher may also be disregarded in the circumstances specified in paragraph 4 of Part X.
2. A non-cash voucher which is not treated as an emolument from employment for the purposes of section 141(1) of the Taxes Act (charge to tax in respect of non-cash vouchers) F1 by virtue of subsection 6 F2, of that section (exemptions for employees of certain passenger transport undertakings).U.K.
Textual Amendments
F1Subsection (1) was amended by section 89(2) of the Finance Act 1994.
F2Subsection (6) was amended by section 46(1) of the Finance Act 1988.
This paragraph applies only in the case of an employee whose earnings from the employment in question are less than £8,500, computed in accordance with the Taxes Act.
3. A non-cash voucher which is not treated as an emolument from the employment for the purposes of section 141(1) of the Taxes Act by virtue of subsection (6A) of that section (exemption vouchers for car parking places provided at or near place of employment) F3.U.K.
Textual Amendments
F3Subsection (6A) was inserted by section 46(1) of the Finance Act 1988.
Section 49(1) of the Finance Act 1999 F4 applies for the construction of the reference to section 141(6A) of the Taxes Act in this paragraph.
Textual Amendments
4. A non-cash voucher in respect of which an employed earner is not chargeable to tax under section 141 of the Taxes Act by virtue of section 157(3)(b) of the Taxes Act (cars available for private use).U.K.
5. A non-cash voucher which is not chargeable to tax under Schedule E by virtue of the following provisions of the Taxes Act—U.K.
(a)section 197 (leave travel facilities for members of the armed forces);
(b)section 197AA (works bus services) F5;
(c)section 197AC (cycles and safety equipment) F6; or
(d)section 197G (sporting and recreational facilities) F7.
Textual Amendments
F5Section 197AA was inserted by section 48 of the Finance Act 1999.
F6Section 197AC was inserted by section 50 of the Finance Act 1999.
F7Section 197G was inserted by section 75(1) of the Finance Act 1993.
6. A non-cash voucher which is not charged to tax under Schedule E by virtue of any of the following Inland Revenue Extra-Statutory Concessions as published at 1st September 2000—U.K.
F8(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b)A22 (long service awards);
(c)A57 (staff suggestion schemes);
(d)A58 (travelling and subsistence allowance when public transport disrupted);
(e)A59 (disabled persons’ home to work travel);
(f)A65 (workers on offshore oil and gas rigs or platforms; free transfers to or from mainland);
(g)A66 (employees’ journeys home: late night travel and breakdown in car sharing arrnagements);
(h)A70 (small gifts to employees by third parties and Christmas parties); and
(i)A74 (meals provided for employees).
Textual Amendments
F8Sch. 3 Pt. 05 para. 6(a) omitted (26.7.2001) by virtue of The Social Security (Contributions) (Amendment No. 5) Regulations 2001 (S.I. 2001/2412), regs. 1, 5(2)(a)
6A. 15 pence per working day up to a maximum of £1.05 per week of the value of one or more non-cash vouchers which can only be exchanged for meals.]
Textual Amendments
F9Sch. 3 Pt. 05 para. 6A inserted (26.7.2001) by The Social Security (Contributions) (Amendment No. 5) Regulations 2001 (S.I. 2001/2412), regs. 1, 5(2)(b)
7.—(1) A non-cash voucher provided in connection with all or part of the costs of and expenses of child care (but not school fees) by an employed earner in connection with a child not exceeding the age of 16 for whom he has parental responsibility.U.K.
For the purposes of this paragraph child care includes—
(a)care provided in accordance with the provisions of Part X of the Children Act 1989 (child minding and day care for young children) F10;
(b)in the case of a child aged 8 or over, care provided by a child minder;
(c)in the case of a child under the age of 8, care provided by a child minder where that care does not exceed, in total, two hours a day;
(d)care provided by a nanny or a relative (within the meaning respectively of section 71(13) and 105(1) of the Children Act 1989);
(e)care provided during out-of-school hours or during school holidays; and
(f)full-time and part-time care.
(2) In the application of sub-paragraph (1) to Northern Ireland—
(a)paragraph (b) shall have effect with the subtitution for “aged 8 or over” of “ aged 12 or over ”; and
(b)paragraph (c) shall have effect with the substitution for “under the age of 8” of “ under the age of 12 ”.
Textual Amendments
F101989 c. 41: Schedule 9 was amended by section 116 of the Courts and Legal Services Act 1990 (c. 41) and section 582(1) of the Education Act 1996 (c. 56).
8. A non-cash voucher provided to or for the benefit of an employed earner in respect of employed earner’s employment by a person who is not the secondary contributor in respect of the provision of that voucher.U.K.