ERSM71030 - Securities acquired for less than market value: old regime: annual charge
Aggregation with other beneficial loans
»Ê¹ÚÌåÓýapp notional loan is aggregated with other real beneficial loans for these purposes.
Threshold for annual charge
Where the total of such loans does not exceed £5,000 there is a de minimis exemption under ITEPA03/S180.
Deemed annual benefit of loan treated as earnings
»Ê¹ÚÌåÓýapp employee is deemed to be in receipt of income equal to the “official rate of interestâ€� (see EIM26104) on the loan as prescribed by HMRC under Treasury regulation.
See EIM26101 et seq. for full details as to computation of annual benefit.
See example at ERSM71040.