86.—(1) Particulars of the following information must be provided in the case of each employee—
(a)any earnings which the employee receives from the employer or related third party otherwise than in money, including the amount of those earnings;
(b)any payments made on behalf of the employee by the employer or related third party and not repaid, including the amounts;
(c)any non-cash voucher provided by the employer or related third party by reason of which the employee is treated by section 87(1) of ITEPA (benefit of non-cash voucher treated as earnings) as receiving earnings in that tax year, including the amount of those earnings;
(d)any use of a credit-token provided by the employer or related third party by reason of which the employee is treated by section 94(1) of ITEPA (benefit of credit-token treated as earnings) as receiving earnings in that tax year, including the amount of those earnings;
(e)the due amount in respect of any notional payment where that amount is treated by section 222 of ITEPA(1) (payments on account of tax where deduction not possible) as earnings of the employee received in that tax year;
(f)any living accommodation which has been provided for the employee or a member of the employee’s family or household by the employer or related third party, including the amount that is treated as earnings for that tax year by section 102 of ITEPA (benefit of living accommodation treated as earnings);
(g)any earnings consisting of the amount by which the value of the exemption under subsection (2) of section 287 of ITEPA (limit on exemption of removal expenses and removal benefits) exceeds the limit specified in subsection (1) of that section and having effect in relation to the employee.
(2) Particulars of removal expenses and removal benefits to which section 271 of ITEPA (limited exemption of removal benefits and expenses) applies are required—
(a)only under paragraph (1)(g), and
(b)only to the extent that they exceed the limit in section 287(1) of ITEPA which applies to the change of residence of the employee in question.
(3) In the case of any earnings relating to business entertainment, as defined by section 577 of ICTA(2), the employer must also inform the Inland Revenue whether the amount of the earnings has been or will be disallowed as a deduction or inclusion as mentioned in section 577(1)(a) of that Act in any tax computation relating to the trade, business, profession or vocation of the employer.
(4) “Related third party” means a person making payments or providing benefits to an employee, if the making or provision of the payments or benefits by that person has been arranged, guaranteed or in any way facilitated by the employer.
Section 222 was amended by section 144 of the Finance Act 2003 (c. 14).
Section 577 was amended by Part 4 of Schedule 14 to the Finance Act 1988 (c. 39), paragraph 1 of Schedule 7 and Part 3(4) of Schedule 27 to the Finance Act 1998 (c. 36), paragraph 51 of Schedule 2 to the Capital Allowances Act 2001 (c. 2), section 73 of the Finance Act 2001 (c. 9) and paragraph 62 of Schedule 6 to ITEPA.