Section 173 Loans to which this Chapter applies

United Kingdom

(1)

This Chapter applies to a loan if it is an employment-related loan.

F1(1A)

Where this Chapter applies to a loan—

(a)

the loan is a benefit for the purposes of this Chapter (and accordingly it is immaterial whether the terms of the loan constitute a fair bargain), and

(b)

sections 175 to 183 F2make provision about amounts which, in the case of a taxable cheap loan, are to be treated as earnings in certain circumstances .

(2)

In this Chapter—

(a)

“loan” includes any form of credit, and

(b)

references to making a loan (and related expressions) include arranging, guaranteeing or in any way facilitating a loan.

(3)

Sections 288 and 289 make provision for exemption and relief for certain bridging loans connected with employment moves.

Annotations

Textual amendments

F1: S. 173(1A) inserted (with effect in accordance with s. 7(9) of the amending Act) by Finance Act 2016 (c. 24), s. 7(8)
F2: Words in s. 173(1A)(b) substituted (with effect in accordance with Sch. 2 para. 62 of the amending Act) by Finance Act 2017 (c. 10), Sch. 2 para. 42

Notes on Chapter 7

Modifications

C1: Pt. 3 Ch. 7 extended (with modifications) (with effect in accordance with s. 97(3) of the amending Act) by Finance Act 2006 (c. 25), s. 97(1)(2)