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Posted Tue, 06 Aug 2024 14:50:54 GMT by Jane austin
As from next year, my company is changing how they report BIK from P11 to payrolling. Have a company car and fuel benefit for personal use. Currently my tax code starts with a K as my benefits exceed my personal allowance. And this figure changes several times a year too for some unknown reason (possible because my overtime varies?) As from next year, with the benefits being payrolled, what is likely to happen to my tax code? I know the benefits value of car and fuel will be added onto my salary for tax purposes so does that mean my tax code will return to the standard 1257L?
Posted Wed, 07 Aug 2024 09:26:26 GMT by HMRC Admin 17 Response

Hi ,
 
The benefits would be removed from your code if they are going to be payrolled.

Provided there are no other deductions in your code, and your income does not exceed £100,000,
you should expect to see your tax code revert to the standard 1257L.

Thank you .

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