Benefits in kind reporting revised

Changes to tax rules mean that employers need to provide details of all benefits in kind (BiKs) as a result of changes to optional remuneration arrangements (OpRAs) from the new tax year.

Employers need to report all BiKs to HMRC on form P11D from 6 April 2018, unless they are registered to voluntarily payroll benefits. OpRAs are used where an employee gives up the right to an amount of earnings in return for a BiK and include flexible benefit packages with a cash option, cash allowances and salary sacrifice.