HMRC has published draft guidance.
HMRC has published draft guidance to help employers understand how to payroll benefits in kind (tinyurl.com/ja57u3b).
The areas covered include:
- when and how to register;
- which benefits can be payrolled;
- accounting for class 1A National Insurance;
- working out the cash equivalent;
- what happens when an employee leaves; and
- new starters with benefits.
The guidance also includes several examples.
Employers must register before 6 April 2016 to start payrolling benefits in 2016/17.
