NIM02335 - Class 1 NICs : Earnings of
employees and office holders : Season tickets
If an employer :
buys a season ticket for an
employee’s normal home to office journey, include the payment
in gross pay for Class 1 NICs purposes.
reimburses an employee the cost of a
season ticket, include the payment in gross pay for Class 1 NICs
purposes.
gives the employee money to buy a season
ticket, include the payment in gross pay for Class 1 NICs
purposes.
gives the employee a loan to buy a season
ticket, no Class 1 NIC liability arises. If, however, the employee
does not repay any part of the loan, that part becomes earnings for
the purposes of Class 1 NICs at the time it is written-off.
buys a rail warrant for the use of
employees, include the payment in gross pay for Class 1 NICs
purposes.
gives a season ticket to an employee of
certain passenger transport undertakings, no liability to either
Class 1 or Class 1A NICs will arise. See EIM16070 (SE16070) and
EIM16075 (SE16075) for guidance regarding the passenger transport
undertakings covered by this exclusion.
provides leave travel facilities for
members of Her Majesty’s Forces, no liability for either
Class 1 or Class 1A NICs will arise.
