EIM21724 | Particular benefits: heating, lighting, cleaning etc. expenses of job-related living accommodation: 10% limit: list of examples of calculating the net amount of the earnings

From HM Revenue & Customs · Employment Income Manual

The links below are to examples showing how to calculate the amount to be included as taxable benefits in respect of:

heating, lighting and cleaning the premises
repairs to the premises, their maintenance or decoration
the provision of furniture, equipment or other items which are normal for domestic occupation

where the restriction to 10% of net earnings described in EIM21721 to EIM21723 could apply.

All the employees in the examples are provided with job-related living accommodation by reason of their employment and qualify for exemption under section 99 and section 100 ITEPA 2003 (see EIM11331 onwards).

Guidance	Example
EIM21725	10% restriction applies
EIM21726	10% restriction does not apply
EIM21727	Employee makes good some (see EIM21120) of the expense of providing the benefits
EIM21728	Interaction between the 10% restriction and the calculation (see EIM20101) of the amount of earnings to determine whether, for the tax years 2015 to 2016 and earlier only, the employee is in lower-paid employment.