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?
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!
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