Lending or hiring cycles or cyclists’ safety equipment
If an employer lends or hires cycles or cyclists’ safety equipment to employees, the benefit of this is exempt from tax on employment income. The cycles or equipment should be generally available to all employees, and mainly used for travel between home and the workplace.
The exemption also covers the provision of a voucher for hiring bicycles and equipment.
The relevant legislation does not define exactly what is meant by ‘safety equipment’, but HMRC says that it includes such things as:
- Cycle helmets which conform to European standard EN 1078
- Bells, bulb horns and lights including dynamo packs
- Child safety seats
- Reflective clothing along with white front reflectors and spoke reflectors
It does not include:
- Cycle computers
- Waterproof clothing that is not reflective clothing
- Cycle training
See HMRC's Exemption for bicycles factsheet