Tax on Christmas/birthday gifts to nanny?

[Jacksterbear]

I've been asked by my payroll agency to complete a form declaring what benefits I've provided my nanny during the 12/13 tax year, including whether I have given her any gifts and if so, what, and of what value. Am I going to be asked to pay tax on the Christmas and birthday gifts we have given? (We probably spent around £100 total during the tax year.) Do people declare these honestly or not? I considered just not declaring them but didn't fancy getting in trouble for tax evasion, however unlikely it would be to ever be challenged!

The payroll agency should have given you some guidance on what gifts can be ignored based on this internal HMRC guidance, or perhaps they are just asking you the question and they are going to decide whether the gifts can be treated as de minimis or not, in which case they should probably have told you that.

I made the fatal mistake of being honest about vouchers we'd given (£80). So now have to pay another £50 odd tax on top!!!!

Ahh, that's really helpful, thanks for the link (and yes it would have been helpful to have had this advice from the payroll agency!).

Creature!