½Û×ÓÊÓƵ

For 2015/16 and earlier years, there were exclusions from parts of the benefits code for certain low paid employments other than directorships¹.

In order to be excluded, an employment must be lower-paid employment (defined below) and either of two conditions must be satisfied²:

1. Ìý

   (a)ÌýÌýÌýÌý the employee is not employed as a director of a company, or

2. Ìý

   (b)ÌýÌýÌýÌý the employee is employed as a director of a company but has no material interest (see E4.601A) in the company and is either a full-time working director (see E4.601A) or the company is non-profit making (that is, not a trading, investment or property holding company) or is established for charitable purposes only

An employment is lower-paid employment for a tax year if the earnings rate (see below) from that employment for the year is less than £8,500³.

Those who are in excluded employments are not taxable on⁴:

1. Ìý

   (i)ÌýÌýÌýÌý expenses payments (ITEPA 2003, Pt 3, Ch 3 (ss 70–72), see E4.602)

2. Ìý

   (ii)ÌýÌýÌýÌý cars, vans and