Income Tax (Earnings and Pensions) Act 2003 section 91

Provision for, or use by, member of employee's family

Section 91 extends the credit-token rules so that they apply not only when a credit-token is provided to or used by the employee, but also when it is provided to or used by a member of the employee's family.

• The credit-token provisions in this chapter apply equally to tokens provided for a member of the employee's family
• Use of a credit-token by a family member is treated as though the employee used it personally
• The employee is therefore taxable on any benefit arising from a family member's use of the token
• This prevents the tax charge from being avoided simply by directing the credit-token to a family member instead of the employee