This page outlines the tax treatment of different training benefits provided to employees. It categorises benefits into taxable and non-taxable, specifying conditions under which each type falls into these categories.
On this page:
Tax Treatment of Training Provided (Summary Table)
| Nature | Taxable/ Not taxable | |
|---|---|---|
1 | Subsidies for course fees, training fees for staff development, examination fees and scholarship awards | Not taxable if this is part of training provided by the employer and the benefits are available to all staff. For training schemes that provide subsidies on course fees and scholarship awards to qualify as not taxable, they should be open to all staff to apply, even though they are awarded to eligible staff who meet specific criteria. |
2 | Scholarship payments for scholarship awards given under (1) | |
a) Airfare, course fees, book/thesis allowance, warm clothing allowance and subsistence allowance | Not taxable | |
b) Remuneration during the period of study / scholarship leave | Taxable | |
3 | Subsidy of course fees or scholarship given as reward for services rendered | Taxable |
4 | Overseas training, including retreats and team building courses | Not taxable if this is part of training provided by the employer and the benefits are available to all staff. If the overseas trip includes a holiday, the holiday portion is taxable. |