SCHEDULES
SCHEDULE 11Employment income provided through third parties: loans etc outstanding on 5 April 2019
PART 4Supplementary provision
37Double taxation
1
Sub-paragraph (2) applies where—
a
P is treated as taking a relevant step by paragraph 1 by reason of a loan made to a relevant person, and
b
the loan is an employment-related loan (within the meaning of Chapter 7 of Part 3 of ITEPA 2003).
2
The effect of section 554Z2(2)(a) of ITEPA 2003 (value of relevant step to count as employment income: application of Part 7A instead of the benefits code) is that the loan is not be treated as a taxable cheap loan for the purposes of Chapter 7 of Part 3 of that Act for—
a
the tax year in which the relevant step is treated as being taken, and
b
any subsequent tax year.