| Benefits Code I and Exemptions and Exclusions |
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where the new duties are to be performed.89 If the claim is based on a change in the duties of the employment or the place of employment (as opposed to a change of employer), no relief is available if the former home was beyond reasonable daily travelling distance from the former place of employment.90 There is no need actually to sell the old residence to qualify for this relief—it is sufficient that it is no longer the only or main residence, eg where the old house is rented out or used only at weekends. The Revenue view seems to be that the family must also use the new home as their main residence but that this is not required of employees coming to work from abroad.91 |
In determining whether the limit of £8,000 has been reached, the rules in the benefits code (chapter 10 part 3) are applied to bring in the cash equivalent of the benefits. Any sums which would otherwise fall within part 3 chapter 5 (living accommodation) are also brought in—less sums made good by the employee.92 |
If the relocation package includes a beneficial loan on which tax is chargeable and the employee has not used up the £8,000 exemption on the other costs of moving house, the bridging loan, or part of it, can be included to use up the total relief available by removing days from the period for which tax is chargeable in respect of the loan.93 In the case of foreign removals, sums allowed under other rules are not counted against the £8,000 limit.94 |
A further rule deals excludes taxable car and van facilities.95These are left to be taxed under the part of the benefits code (part 6) and so do not affect the £8,000 total here. |