Dent Ltd requires advice on the after-tax cost of remuneration to be provided to a key employee.

Alina – design engineer:
– Alina will commence employment with Dent Ltd on 1 July 2019 to lead the R&D project.
– Alina’s annual salary of £80,000 is included in the budgeted staff costs figure above.
– On 1 July 2019, Dent Ltd will additionally provide Alina with the following, none of which are included in the budgeted staff costs figure above:
- a lump sum payment of £10,000 in recognition of her forthcoming employment;
- a new computer costing £1,000, of which Alina will have use, including significant private use, for the first nine months of her employment; and
- temporary living accommodation for the first six months of her employment (as detailed below).

Alina – provision of temporary living accommodation:
– Dent Ltd will rent a flat for Alina’s use from 1 July 2019 to 31 December 2019.
– Dent Ltd will pay the rental cost of £660 per month.
– The market value of the flat is currently £225,000, and its annual value is £2,800.

Required:
(c) State the income tax implications of the receipt of the lump sum payment for Alina, and calculate the after-tax cost for Dent Ltd in respect of the lump sum payment and provision of the computer and the temporary living accommodation to Alina in its year ending 30 June 2020.

Note: You should ignore VAT in this part (c). (8 marks)