The benefit-in-kind is reported on the employee’s P11D form, and the tax liability will be calculated accordingly. For the company, offering an employee a loan may also trigger some tax obligations.

Though a company car is often a perk of a job, it’s by no means free as there’s a tax implication on it ... A company car is seen as a benefit-in-kind (BIK) by HMRC since it’s usually ...

Employers must report expenses and benefits-in-kind, such as company cars and private medical insurance, to HMRC every year in a P11D form.

"The BIK rates are set to rise by 1% in each tax bracket for every type of vehicle, with higher BIK rates for higher-emission vehicles. Electric vehicles currently have a low BIK rate of 2%, but from ...

Benefit-in-kind (or BIK ... To calculate the company car - or BIK - tax, multiply the P11D value by the BIK percentage banding, then multiply that figure by your tax band - i.e. 20% or 40%.

"They will need to know in advance about expenses and benefits-in-kind going through ... These will remain on the P11D form at the end of the tax year. The mandatory payrolling of these will ...