The staff Christmas Party is a time for fun. However, if you are an employer and hold an annual Christmas Party, you need to be aware of restrictions, otherwise you may end up with an unexpected tax bill. Provided that an annual Christmas party is open to all staff generally, HM Revenue & Customs (HMRC) …
Where an annual Christmas party is open to staff generally, HM Revenue & Customs (HMRC) will treat expenditure of up to £150 per head per annum as tax free. ‘£150 per head’ means the total cost of the function, including VAT and any transport or accommodation provided by employer, divided by the number of people …