Benefits in Kind
Broadly, benefits may be defined as everything, not in the form of money, which an employee (and members of his family or household) receives from the employer or from other persons, by virtue of the employee's job. A simple description would be "perks of the job".
The law tries to ensure that employees are treated evenly, no matter in what form they receive "payment".
Employees (including directors of companies) are affected because they are ultimately responsible for tax arising on any benefits they receive. It is also the responsibility of each employee to ensure that all benefits received, that are not included in the ETI schedules, are declared separately on his income tax returns. The reason for this requirement is that an employee may receive taxable benefits of which his employer may be unaware, e.g. a gift from a customer.
For further information, see the pdfs below.
Document downloads
Benefits in Kind Explanatory Guide 2012
What are benefits in kind and how are they taxed?
Benefits in Kind Statements of Practice
Further clarification on benefits in kind
The Director (Income Tax)
(Opening Hours - 8.30am to 4.00pm Mon- Fri) , Income Tax Office, PO Box 37, 2 Cornet Street, St Peter Port, GY1 3AZ, GuernseyTel: +44 1481 724711 Fax: +44 1481 713911
Email: enquiries@tax.gov.gg
