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Ask Your Own Question, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 5113
Experience:  FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
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I received an educational grant apprentice employee.

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I received an educational grant for an apprentice employee. Do I pay tax on the grant as if it was income or is it tax free?
If it is tax free can I still claim his wages as an expenses?
Thank you for your question..HMRC manual EIM06210 covers aspects of scholarship income and grants.If you as an employer has received educational grant and you are paying a wage to an apprentice employee in return then the grant is deemed income and wages deemed allowable expense for tax purposes.More information on this is covered in HMRC manual and the link is here I hope this is helpful and answers your question.If you have any other questions, please ask me before you rate my service – I’ll be happy to respond.Please only rate my answer if it is acceptable to you. and other Tax Specialists are ready to help you
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