Merry Christmas From Everyone At Essendon Accounts!

On behalf of Essendon Accounts & Tax Limited, I would like to wish you all a happy and healthy Christmas. To allow our team to spend time with their families and recharge their batteries, the office will be closing ...

We will close our doors for our Christmas break at 1pm on Thursday 21st December and will not be re-opening until 8am on Tuesday 2nd January 2018.

"I have had various questions over the last two or so weeks about Christmas gifts and parties for employees!"

In order to be exempt from reporting the Christmas party to HM Revenue & Customs the party must be:

So, what happens if I also treat the team to a summer Barbecue as well? Well, in this instance the £150 exemption applies to the combined cost if the barbecue is an annual event.

"Interestingly (as I found out this year!) a one-off 50th birthday meal is a one-off event and does not gain exemption!"

Fortunately, HM Revenue & Customs doesn't support discrimination so if you were to have a party for just the directors then the exemption would not be available as the party has to be open to all employees.

I have been asked by a few clients is if they can give gift cards as staff presents. Of course, the answer is yes, as I wouldn't want to ruin the Christmas spirit. However, there are tax and national insurance implications.

If the gift card can in any way be redeemed for cash then the value must be added to the employee's pay via the payroll with tax and national insurance being accounted for. If the cards are 'non-cash vouchers' exchangeable for goods and services only, you must enter these on a P11D or enter a PAYE Settlement Agreement with HM Revenue & Customs

If you'd like to talk further about anything I've mentioned here, do call me on 01908 774320 or click here to ping over an email and let's see how I can help you.

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More about Roger Eddowes ...

Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.

Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.

Merry Christmas From Everyone At Essendon Accounts!

And some useful information about Christmas parties ...