Tax Free Health Benefits
There is no requirement for employers to pay tax and National Insurance on certain health benefits covered by tax concessions or exemptions. For example, there is no requirement to report employees’ medical or dental treatment or insurance if they are a part of a salary sacrifice arrangement.
In addition, the following health benefits can be provided tax free:
- A maximum of one health-screening assessment and one medical check-up in any year.
- Eye tests required by health and safety legislation for employees who use a computer monitor or other type of screen.
- Glasses or contact lenses required by employees for working on computer monitors or other types of screen.
- Medical treatment for employees working overseas. The employer must have committed in advance to pay for this treatment or must pay the provider directly for the employee’s treatment or insurance.
- Medical treatment or insurance related to injuries or diseases that result from your employee’s work.
- Medical treatment to help an employee return to work. This allows the employer to pay up to £500 in costs for an employee to return to work
Any medical or dental treatment or insurance provided that is not exempt must be reported to HMRC. Employers may be required to deduct and pay tax and National Insurance on these amounts.
Posted by Cassey Nixon on
28th September 2018
MTD for VAT to launch April 2019
The introduction of MTD (Making Tax Digital) for VAT will affect businesses with a turnover above the current VAT threshold of £85,000. These businesses will be required to keep digital records and provide regular digital updates to HMRC for VAT purposes using MTD for VAT. There will be some additional preparation time for a small number […]
Who should submit a Self-Assessment ?
There are a number of reasons why a taxpayer should complete a Self Assessment return. This includes, if they are self-employed, a company director, have an annual income over £100,000 and / or have income from savings, investment or property. Taxpayers that need to complete a Self Assessment return for the first time, should inform HMRC […]