CX 19Benefits provided instead of allowances

1. A benefit that an employer provides to an employee in connection with their employment is not a fringe benefit to the extent to which it removes the need that would otherwise exist for the employer to pay the employee an allowance of 1 of the following kinds:

2. an allowance that, if it had been paid,—
   1. would have been exempt income under section CW 17 (Expenditure on account, and reimbursement, of employees); and
   2. would have been paid for reasons other than to enable the employee to provide a benefit to another person; or
3. an allowance that reimburses the employee for transport costs that—
   1. would have been incurred both in connection with their employment and for the benefit of the employer in travelling between home and work; and
   2. would have been attributable to any 1 or more of the factors set out in section CW 18(3) (Allowance for additional transport costs); or
4. an amount that, if it had been paid, would have been exempt income under sections CW 16B to CW 16F, CW 17B, CW 17CB, CW 17CC, and CW 17D (which relate to certain expenditure of an employer on an employee’s accommodation, work-related meals, relocation, clothing, and health and safety).

5. A benefit that an employer provides to an employee is not a fringe benefit if it—

6. is in substitution for an allowance described in subsection (1)(b); and
7. is brought about because the employee has a temporary change in their place of work while in the same employment; and
8. reimburses the employee for transport costs that would have been incurred relating to travel by 1 or more of the employee’s spouse, civil union partner, or de facto partner, and relatives for the purpose of visiting the employee in the temporary place of work; and
9. has a value that is no more than the amount that would be provided under the allowance described in subsection (1)(b).