§ Mr. Tebbitasked the Chancellor of the Exchequer whether and under what circumstances payments to employees in 353W respect of fares to work, or the provision of transport on non-economic terms, are liable to tax.
§ Mr. Robert Sheldon,pursuant to his reply [Official Report, 20th January 1977], gave the following information:
Payments to employees in respect of fares to work are taxable as part of their emoluments, except where the expense is necessarily incurred in the performance of their duties. The excess of the cost of providing transport on non-economic terms over the fares, if any, paid is taxable as a benefit in kind where the employee earns £5,000 a year or more.