Earnings and benefits

Earnings and benefits guidance:

Bonuses can be a very effective tool to motivate and retain employees while allowing businesses to control wage costs. In certain sectors and industries (eg the financial...

Practice Note

Produced in partnership with Vaneeta Khurana of EY LLP [Insert client’s address] Income tax treatment of staff entertainment and gifts to employees and directors 1...

Precedents

Specific rules in the benefits code in ITEPA 2003, Part 3 apply to 'employment-related loans' and, in certain circumstances, impose income tax and NICs charges on...

Practice Note

The residual liability provisions are the back-stop of the benefits code, providing a means of calculating the value of a benefit provided to an employee if neither the...

Practice Note

The UK has a comprehensive code for the taxation of employment income. This Practice Note deals with the basic principles of income tax on employment income and how they...

Practice Note

In addition to cash earnings, such as wages or salaries, many reward packages include non-cash items, such as the provision of a car, health insurance or childcare. An...

Practice Note

The use of malus and clawback The concept of withholding or even recovering value from executives if a material adverse event occurs following the award of...

Practice Note

Companies sometimes provide directors or employees with low interest (or interest-free) loans as part of the reward package or on specific occasions to help the...

Practice Note

Restrictive covenants or undertakings These are undertakings given by employees during employment or on termination which restrict their conduct or activities. Due to...

Practice Note

FORTHCOMING CHANGE: it was revealed in the Queen’s Speech on 14 October 2019 that the government intends to table legislation, the Employment (Allocation of Tips) Bill,...

Practice Note

Tips and commission are both varieties of payment that employees may receive in addition to their regular wage or salary payments. Tips, in particular, are...

Practice Note

Companies sometimes provide loans to directors or employees as part of the reward package or on specific occasions to help the individual meet significant expenditure....

Practice Note