Income Tax (Earnings and Pensions) Act 2003 section 259

Exception where unrelated assets are provided

Section 259 restricts the individual learning account training exemption under section 255 so that it does not apply where the benefit provided is an asset that is unrelated to the training.

• The section 255 exemption does not apply if the benefit provided, or its use, or the cost paid or reimbursed, is an asset that is not a training-related asset
• A training-related asset is one provided for use only in the course of the training, or for use in the training and in performing the employee's duties but not to any significant extent for other purposes
• Training materials provided during the training and items made by the employee during the training (or incorporated into something so made) also qualify as training-related assets
• Training materials include items such as stationery, books, written material, audio or video tapes, compact discs or floppy discs, but this is an illustrative rather than exhaustive list