EIM21210 - »Ê¹ÚÌåÓýapp benefits code: deduction for necessary expenses

Section 365(1) ITEPA 2003

»Ê¹ÚÌåÓýapp employee can claim a deduction from the cash equivalent for any amounts which would have been allowable as expenses, if he had paid for the benefit out of his earnings. »Ê¹ÚÌåÓýapp most important amounts which can be deducted are those which would have been allowable as:

  • necessary expenses under section 336 ITEPA 2003 (EIM31620 onwards)
  • travelling expenses under sections 337 and 338 ITEPA 2003 (EIM31810)
  • professional fees and annual subscriptions under sections 343 and 344 ITEPA 2003 (EIM32880)
  • the expenses of a minister of religion under section 351 ITEPA 2003 (EIM60040).

Benefits which are used for business entertaining will not usually qualify for a deduction under section 336 (EIM32630).