Section 1170 — Corporation Tax Act 2009: “Staffing costs”

“Staffing costs” 1170 1 For the purposes of this Part the staffing costs of a company are amounts to which any of subsections (2) to (5) applies.

2 This subsection applies to an amount paid by the company to a director or an employee of the company which—

a is earnings consisting of money, and b is paid because of the director's or employee's employment.

3 This subsection applies to an amount paid by the company to a director or an employee of the company, other than an amount paid in respect of benefits in kind, if—

a the amount is paid in respect of expenses paid by the director or employee, and b the amount is paid because of the director's or employee's employment.

4 This subsection applies to secondary Class 1 national insurance contributions paid by the company.

5 This subsection applies to contributions paid by the company to a pension fund operated for the benefit of directors or employees of the company.

6 In subsection (5) “ pension fund ” means a scheme, fund or other arrangement established and maintained (whether in the United Kingdom or elsewhere) for the purpose of providing pension benefits. For this purpose “ scheme ” includes a deed, agreement or series of agreements.

7 In subsection (6) “ pension benefits ” means pensions, retirement annuities, allowances, lump sums, gratuities or other superannuation benefits (with or without subsidiary benefits).