New Benefit In Kind (BIK) rules come into force – Jan 2023

From Jan 2023 Benefit In Kind (BIK) percentages will be dependent on CO2 emissions as well as mileage.

Employees provided with a company car that they also use for private mileage are liable to pay tax on the Benefit In Kind – known as Notional Pay.

The new rules mean that Benefit In Kind amounts are now determined by the vehicle’s CO2 emissions as well as business mileage as per below.

THE CO2 EMISSIONS CATEGORY OF THE CAR IS AS PER THE FOLLOWING TABLE

THE AMOUNT OF BUSINESS MILEAGE AND CO2 EMISSION CATEGORY

HOW CAN SILVEY FLEET HELP?

Our Miles Monitor fleet management solution offers numerous benefits including:

• Employees can easily report their mileage data via the Miles Monitor mobile app or Online Mileage Capture Tool ensuring mileage is reported accurately and frequently.
• The Service reduces administration – all data collection and Notional Pay calculations are processed monthly.
• Full visibility of fuel costs and associated fleet data, helping companies make well-informed cost saving decisions.
• Audit records can be created should they be required for an internal or external audit.
• Reporting mileage data on a monthly basis reduces the need for year-end adjustments and lessens the risk of employees receiving a large tax bill at the end of the year.
• If employees are reimbursed for their mileage at Civil Service rates and company rates dictated by policy Miles Monitor can produce payroll reimbursement files.
• The fuel versus mileage audit ensures employees are reporting their business mileage accurately (and not using their fuel cards to fill additional vehicles) and encourages awareness of fuel efficiency.

Contact our dedicated account team today on +353 1 903 9443 or priority@silveyfleet.com to find out more.

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