Reply to: Company Xmas Party

[Epiphone]

don't forget to take minutes....

That's admin. It's her job now

[Bluebird]

It's on Saturday. And no-one is more shocked than I am that we'll actually discuss the business too! Not for long, granted but our lass is going to do all the admin in future so the details need thrashing out.

Over a nice meal, obviously

don't forget to take minutes....

[Epiphone]

so has anyone booked a christmas party for "staff" and guests?

It's on Saturday. And no-one is more shocked than I am that we'll actually discuss the business too! Not for long, granted but our lass is going to do all the admin in future so the details need thrashing out.

Over a nice meal, obviously

[Bluebird]

I seem to remember reading that if you spent over the £150/head then all of it was classed as a BIK, not just the amount over £150.

But then I probably read it on here which means it's a pile of poo...

you are quite correct.

It's something to do with a threshold and an allowance and the difference between the 2.

[ratewhore]

I seem to remember reading that if you spent over the £150/head then all of it was classed as a BIK, not just the amount over £150.

But then I probably read it on here which means it's a pile of poo...

[r0bly0ns]

Booked it, had it, got too drunk to remember bits of it....

[Bluebird]

so has anyone booked a christmas party for "staff" and guests?

I did one in the summer, noe doing Christmas - the wife is taking care of the cooking and I'm going to pay her to do it.

[chef]

so has anyone booked a christmas party for "staff" and guests?

[THEPUMA]

When I used to work for a large utility company - most of the employees were shareholders as well as employeees.

I know what you're trying to say, but where does the scenario of a 2 person company and a 1,000 person company differ when all employees are also shareholders ?

Possibly in the case of the 1,000 person company, Christmas parties are disallowed or possibly it is considered that morale still needs to be upheld because each employee doesn't benefit quite so directly from the profit he generates.

Can you point to the specific clause about non-deductability for CT please ?

ICTA88/S74 (1)(a)

[Bluebird]

The point is that in these cases the employees are not usually also the shareholders of the business. The point of the party is to generate goodwill amongst the employees (or prevent the badwill that could arise if there was no party).

It is hard to imagine that if yourco didn't have a Christmas party that you would throw your toys out of the pram and refuse to do any work in January.

When I used to work for a large utility company - most of the employees were shareholders as well as employeees.

I know what you're trying to say, but where does the scenario of a 2 person company and a 1,000 person company differ when all employees are also shareholders ?

Can you point to the specific clause about non-deductability for CT please ?

[hugebrain]

My dispensation says yes!

Hey I don't make the rules. I just play by them.

It seems to fit within all the rules.

[TheFaQQer]

Another question. Me and the company secretary could fly to Bora Bora and stay in one of those overwater bungalows. Then invite say 100 guests for a beach party and buy them each one beer.

As long as the total cost is < 150 per head and neither of us have a salary more than £8,500 the whole thing is tax deductible?

My dispensation says yes!

[THEPUMA]

Another question. Me and the company secretary could fly to Bora Bora and stay in one of those overwater bungalows. Then invite say 100 guests for a beach party and buy them each one beer.

As long as the total cost is < 150 per head and neither of us have a salary more than £8,500 the whole thing is tax deductible?

I think that would definitely work. 100% robust.

[hugebrain]

a cunning plan?

Another question. Me and the company secretary could fly to Bora Bora and stay in one of those overwater bungalows. Then invite say 100 guests for a beach party and buy them each one beer.

As long as the total cost is < 150 per head and neither of us have a salary more than £8,500 the whole thing is tax deductible?

[TheFaQQer]

If that was in response to me, this link refers only to benefits-in-kind, not corporation tax deductibility.

It wasn't in response to anyone in particular - I guess it was in response to the original question about what was allowed.

From a BIK perspective, the document explains it.