You can now tax benefits in kind through payroll directly in Cintra People Payroll. A new Benefits in kind tab on the employee's Benefits tab brings payrolled benefits and benefit costs together, so you can see what's taxed through pay and what each benefit costs in one place.
What's new?
The Benefits in kind tab replaces the Other benefits tab and has two sections:
Payrolled benefits: Assign benefits such as private medical insurance so that their cash equivalent is added to the employee's taxable pay each period, and tax is collected through payroll. Payrolled benefits were previously entered in the Salary and allowances tab, and have now moved here.
Benefit costs: The Other benefits tab has been renamed Benefit costs and moved into this tab. It works as before, recording what each benefit costs you and anything the employee pays towards it from their pay.
Guided steps: Add a payrolled benefit in three steps (select the benefit, set the dates and enter the cash equivalent) as either an annual or per period amount.
Edit, renew, end or delete: Manage each benefit from its ⋮ menu, with a warning when a change will affect payroll.
Clear payslips: Payrolled benefits appear on the employee's payslip marked "Unpaid for tax purposes only".
Key benefits
Tax collected as you go: Payrolling benefits means tax is collected each period, rather than through a P11D at the end of the tax year.
Everything in one place: See what's taxed through pay and what each benefit costs on a single tab.
Your choice: Payroll a benefit, record its cost, or both, depending on how your organisation handles it.
What next?
Payrolled benefits and benefit costs are separate records. If you want to tax a benefit through payroll and also record what it costs, add it to both sections.
To find out more, see Benefits in kind.