Christmas Gift- benefit in kind

C

Champ

Guest
Can anyone tell me if my company are correct in including a Christmas hamper given to me, as benefit in kind. The cost of the hamper for the company was 150 euro. I have now been landed with a tax bill for the gift!! Is this correct?
 
yes unfortunately pity your company did not have the foresight to keep the value below €100 and it would have been tax free.

al least next christmas the small benefits exemption is raised to €250 so you might get it tax free
 
Thanks strettie for that.Would it not follow though that the tax should be paid on the balance rather than on the full 100 euro. In other word the tax would be due on the 50 euro?
 
You would think so. Unfortunately our Revenue folks dont' seem too keen on marginal taxation when they can hit you for the full whack. Just look at the stamp duty code on property!
 
afraid Extopia is right .

below 100 all tax free

above 100 all the benefit becomes taxable
 
Its unfair to blame Revenue for this. They only implement the law, they don't devise it. The fault lies with the Dept of Finance and successive Ministers for Finance. Thankfully the latest incumbent has addressed the BIK on bonuses issue in the 2005 Budget
 
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