Income Tax (Earnings and Pensions) Act 2003 section 78

Voucher made available to public generally

Section 78 exempts certain cash vouchers from the tax charge under this chapter where the voucher is available to the general public and the employee receives it on the same terms.

• Cash vouchers that are available to the general public may be exempt from the tax rules in this chapter
• The exemption applies only if the voucher is of a kind offered to the public at large, not exclusively to employees
• The employee or their family member must receive the voucher on terms no more favourable than those available to the general public
• If either condition is not met — for example, the employee receives a discount or preferential access — the normal tax charge on cash vouchers will apply