The following Employment Tax guidance note by Tolley in association with Philip Rutherford provides comprehensive and up to date tax information covering:
Staff training and courses are a common benefit provided by employers to their staff. There are various reliefs available for the costs associated with staff training.
A number of exemptions from tax and NIC for work-related training are provided by ITEPA 2003, ss 250–254.
ITEPA 2003, s 250 provides an exemption for both the costs of work-related training as well as other related costs. Where the exemption applies, it does not matter if the employer meets the expenditure or the employee pays and is reimbursed for it by his employer:
This exemption does not give employees tax relief for the costs of self-financed training where the cost of the training is not reimbursed by the employer.
HMRC guidance is at EIM01210 onwards.
Work-related training is defined as any course or activity which is designed to impart, instil, improve or reinforce any knowledge, skills or personal qualities which:
ITEPA 2003, s 251
The training should relate to the employee’s current employment or a related employment. For example, sending a
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