How is business health insurance taxed?

I’m looking to set up Health Insurance for my employees, can you explain how this will be taxed?

Question asked by Sarah Wright
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Answered by Andrew Jenkinson

Group or company health insurance is paid for by the employer and can therefore be paid from pre tax earnings.  This means that the employee can be subject to tax for a benefit in kind.  The amount of the premium would be added to gross earnings and they would pay tax on the full amount. For more information please visit the HMRC website.

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employee benefits
 
company health insurance
 
This information does not constitute financial or other professional advice. You should consult your professional adviser or contact us directly on 02084327333 should you require financial advice. It is important to ensure any insurance policy you take out is suitable for your needs.
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