Home » Categories » Solutions by Business Process » Finance » Payroll |
Benefits in Kind / Company Cars |
Article Number: 2196 | Rating: Unrated | Last Updated: Fri, Jun 16, 2023 at 4:24 PM
|
From the start of the 2016/17 tax year employers could choose to account for the tax on benefits in kind through PAYE each payday. For more details review the HMRC website at: https://www.gov.uk/guidance/paying-your-employees-expenses-and-benefits-through-your-payroll
In summary this option increases the employees ‘taxable pay’ to include the benefit in kind rather than the HMRC reducing the employees tax code and avoids the need, in some circumstances, to submit a P11D.
From 17/18 you now have the option to record company car details against a nominated benefit in kind. Recording these details is optional currently, even if you have chosen to payroll Benefits in Kind, though is likely to become mandatory in the future.
Employee Maintenance– either when adding new employees or via the Switches maintenance screen. When an employee is confirmed as using the
Company Car BiK switch a pop-up screen will allow recording of the company car
details. ![]()
Details prompted will be familiar to those used to recording these details on line via the HMRC website. If a car is withdrawn / replaced during the tax year you should update the withdrawal dates and create a new entry for the new car – up to four changes of car are supported for the employee within the tax year.
Installation
Payroll System Profiles
Within the Payroll System Profiles Payment and Deduction Table you can flag an extra payment switch as
being a Benefit in Kind.
if you have a Benefit in Kind switch which is used for Company Car’s note the letter (number) and then set this |
Attachments
![]() There are no attachments for this article.
|
Transaction / Detail Enquiries
Viewed 1910 times since Tue, Mar 26, 2013
Transactions (Premier only)
Viewed 1982 times since Tue, Mar 26, 2013
Standard Reports & Payslips
Viewed 1928 times since Wed, Mar 27, 2013
Overtime Rate Table
Viewed 1959 times since Tue, Mar 26, 2013
Apprenticeship Levy
Viewed 1431 times since Mon, Jun 26, 2017
Employee Optional 9/11
Viewed 1833 times since Wed, Mar 27, 2013
Payroll Utilities
Viewed 2669 times since Tue, Mar 26, 2013
Expand Data Files
Viewed 3022 times since Wed, Mar 27, 2013
Full Payment Submission (FPS)
Viewed 5892 times since Tue, Mar 26, 2013
Employee Basic Pay List
Viewed 1864 times since Tue, Mar 26, 2013
|