The University does occasionally make accommodation available to particular employees. This is normally either because there is a tradition of accommodation being offered in conjunction with a particular post or where there are operational benefits in accommodating employees at or near to the work place.
There is no taxable benefit if the University provides accommodation where:
- it is necessary for the proper or better performance of the employee's duties that he or she should reside in the accommodation or for the employee's security, and
- it is traditional to provide accommodation for that kind of employment.
In exceptional circumstances, accommodation may be provided where it is neither traditional nor necessary for the better performance but this will be taxable and reportable on P11D.
E.g. It is traditional to provide custodians with accommodation and it is required for the security of the building (therefore not taxable), whereas it is not traditional to provide accountants with accommodation and hence their accommodation would be taxable.
The University will recharge the employee all utility costs in respect of the accommodation and therefore there will be no taxable benefit on this element.