Corporate gifts to staff and customers.

[Du1point8]

What are the rules on this and how much is allowed?

Does anyone have details of any companies that offer this service so I can review them?

[Eric Mc]

Gifts to customers or other third parties are handled under the "Entertainment" rules and therefore will not be allowed as a deduction when calculating taxable business profits.

http://www.hmrc.gov.uk/manuals/bimmanual/bim45065....

You also have to be careful now with "gifts" and favours to third parties because of the Bribery Act.

Gifts to members of staff COULD be seen as a taxable "Benefit in Kind" - unless they are small or trivial.

http://www.hmrc.gov.uk/manuals/eimanual/eim21863.h...

[Du1point8]

Eric Mc said:

Gifts to customers or other third parties are handled under the "Entertainment" rules and therefore will not be allowed as a deduction when calculating taxable business profits.

http://www.hmrc.gov.uk/manuals/bimmanual/bim45065....

You also have to be careful now with "gifts" and favours to third parties because of the Bribery Act.

Gifts to members of staff COULD be seen as a taxable "Benefit in Kind" - unless they are small or trivial.

http://www.hmrc.gov.uk/manuals/eimanual/eim21863.h...

Thanks for that, a EU counterpart has told me that a product they are selling is doing very well in the gifts for employees/customers market, they said the limit over there was 120 Euros.

Was looking at something similar in the UK, but not sure how it would work as the first thing I saw was a £50 limit which is way too low to do a deal at.

Best thought to ask on here.

[Eric Mc]

Thee is no tax law saying you cant give gifts. It's just that you won't get any tax relief for the expenditure.