When an employer purchases an item and then transfers it to an employee a taxable benefit will arise, if the employee does not pay the market value of the item at the date of transfer. Of course the argument starts when the taxman doesn’t agree with your market valuation. Therefore always try to obtain two proofs of valuation. This can be as simple as a printout from eBay of similar items.
To assist you HMRC provide a ready reckoner for pushbike transfers: -
|Age of cycle||Acceptable disposal value percentage|
|Original price of the cycle less than £500||Original price £500+|
|6 years & over||Negligible||Negligible|
The rules can get a bit more complicated if the item was previously used by employees before it was transferred, i.e.