As part of this week’s Wednesday Wisdom the team took a look at how loyalty schemes are taxed and the implications for both the loyalty scheme provider and their members in the Business to Business sector. Although each business has their own tax advisor, we are often asked questions regarding taxation and so an understanding of this field can help us in our recommendation of the most suitable loyalty solution for a situation.
Business to business Points Based schemes, Trade Order campaigns, Cashback schemes and Trade Rewards were all discussed, along with their differing tax treatment, advantages and disadvantages.
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