EIM30008 - Benefits: scholarships provided for members of the family or household of a director or employee: draft letter to trustees of educational trusts

Draft letter

I understand that, as trustee of ................. Trust, you make payments for educational or scholarship purposes.

A charge to tax may arise on a director or employee under Section 211 ITEPA 2003 when:

• such a payment is made to or on behalf of a member of his household and
• his employer has, as settlor, provided any part of the trust funds.

I request you as a possible provider of benefits to supply in accordance with Section 15 (9) Taxes Management Act 1970, the following information for the year ended 5 April ...

Have you made any payments in the year 5 April ... for educational or scholarship purposes to:

• a director or employee?
• a child or other member of the family or household of a director or employee (including a payment to a third party such as an educational establishment)?

If so, please give details of:

• the name and address of the director or employee (and the national insurance number, if known)
• the amounts of the payments made in the year to each director or employee, or to a child of his or other member of his family or household, or to a third party.

You can show these details on the enclosed forms P11D or give them in any other form you find convenient. Where more than one employer is involved, it will help if you note against each director or employee, the name and address of his employer.