EIM26156 – The benefits code: beneficial loans: advances of expenses: consequences
Section 179 ITEPA 2003
Section 179 ITEPA 2003 (see
EIM26155) only covers the charge on
beneficial loans.
Tax may still be chargeable on the expenses themselves
under:
- Section 62 ITEPA 2003 as earnings from the employment (see EIM01110, EIM05100 and EIM05200), or
- Sections 70 to 72 ITEPA 2003 as expenses of employees, except those in excluded employment (see EIM20601 onwards).
Moreover Section 179 does not affect the charge that would arise
if the debt created by the advance was released or written off (see
EIM21740 onwards).
Although an employer does not have to report details of the
advances on forms P11D as beneficial loans, they have to be
included as expenses payments unless they are covered by a
dispensation (see
EIM30051 onwards).
