EIM26132 The benefits code: beneficial loans: exemptions from charge: general
No charge is made on beneficial loans obtained by reason of a person's employment in the circumstances summarised in the following table. The relevant instructions should always be consulted.
Circumstances |
Relevant instructions |
| The loan is a qualifying loan (see EIM26120) and the whole of any interest qualifies for relief. | EIM26135 |
| The aggregate balance outstanding on all beneficial loans does not exceed £5,000 at any time in the year. | EIM26140 |
| The aggregate balance on all non-qualifying loans (see EIM26117) does not exceed £5,000 at any time in the year. | EIM26145 |
| The employee shows that he or she derived no benefit from a loan made to his or her relative. | EIM26150 |
The loan is for a fixed
period at a fixed rate of interest and the loan was first made:
| EIM26152 |
| Advances for necessary expenses made by an employer to an employee (subject to certain limits). | EIM26155 |
| A loan or credit on terms that are available to and substantially taken up by the public at large, made by a person whose business includes the lending of money or the giving of credit. | EIM26158 |
