British Airways wins tax dispute over Heathrow crew hotel stays
A UK tribunal has ruled that hotel accommodation for British Airways cabin crew at Heathrow counts as deductible travel expenses rather than a taxable benefit, in a case involving £5.8 million in tax and national insurance.
British Airways has won a tax dispute over hotel stays for cabin crew at London Heathrow, City AM reports. The case concerned £5.8 million, about €6.7 million, in tax and national insurance contributions.
The Upper Tribunal ruled the hotel costs are deductible travel expenses, not a taxable supplementary benefit for employees. The dispute traces back to security rules introduced in 2016 that require rest periods in a hotel between certain consecutive long-haul flights. The court therefore regarded the overnight stays as a necessary part of the work.
HMRC said it is reviewing the judgment.
Sources
- aerotelegraph.comBritish Airways gewinnt Steuerstreit um Crew-Hotels