Where loans from an employer total more than D5,000 for example at any time in the year, tax is chargeable on the difference between any interest actually paid and interest calculated at the ‘official’ rate (currently 12%).
Your remuneration package
An attractive remuneration package can include any of the following:
- Reimbursement of expenses
- More generous expenses – business travel in first or business class, or a better quality hotel on business trips
- Bonus or profit related award schemes
- Share incentive arrangements
- Pension provision
- Life assurance and/or healthcare
- Choice of a company car or additional salary and reimbursement of car expenses for business travel in your own car
- Mobile phone
- Contributions to the additional costs of working at home
- Other benefits in kind including, for example, annual parties costing not more than D150 per head for the year, or long service awards
Of course, negotiating the appropriate package is a matter for you and your employer, but you should seek our advice to ensure that your overall package is as tax and NI efficient as possible.