Commentary on Sections Example 3 £150(Pe) – £50(E) = £100 Section 102: Benefit of living accommodation treated as earnings
384.This section makes the cash equivalent of the benefit of the living accommodation chargeable to tax, by treating it as earnings. It derives from sections 145(1) and 146(1) of ICTA.
385.Subsection (1) sets out the year for which the cash equivalent is to be treated as earnings. See Note 7 in Annex 2.
386.The period for which the cash equivalent is calculated is given the label “the taxable period”. See Note 16 in Annex 2.