PTC Exam June 2009

Esme

In the first task, when calculating the assessable benefits in kind...

The info says that Jakki is given £40 per week as a contribution towards childcare. The answer then says not to include this as it is under £55.

In my Osbourne book it says tax-free benefits include childcare 'vouchers' up to £55 per week.

I know it seems pretty obvious, but the lady is not being given vouchers, she is being given money so surely this is different?

A-Vic

Nope it states the amount it is allowed as long as avaliable to ALL employees

mrspnut

It's not assessable but you need to write down that it isn't assessable as it is under the £55 a week threshold otherwise they will think that you have just forgotten it.

The vouchers are a salary sacrifice and the £55 a week bit is the tax free amount. Although it says the employer is giving her cash, they aren't really it does come in the form of vouchers and they wouldn't try to trip you up over that sort of thing.

Esme

Ok.. thank you