Company Car Benefit in Kind Claim

Berty

Hey Folks,

Quandary I have with a difficult payroll department. They don't want to or like to complete BIK Mileage Calculations(for payroll purposes) because the longer serving employees never have so keep saying:

"Oh it's like a savings scheme, you need to claim it back in January of each year" so instead of calculating my BIK at the normal 6%(my car is below €24k and I do about 75k kms per year so always the lowest BIK percent).

I rang The Tax office and they hadn't a clue what I was talking about. Said it's the employers onus to do this.

I have my itemised mileage records, recorded daily. Where do I even start trying to get back my 27% bik per month from...............somebody?

Thanks in advance.

Lockedout2

It's the payroll dept that should calculate the BIK so the deal with it.

gerrybbadd

Berty wrote: »

Hey Folks,

Quandary I have with a difficult payroll department. They don't want to or like to complete BIK Mileage Calculations(for payroll purposes) because the longer serving employees never have so keep saying:

"Oh it's like a savings scheme, you need to claim it back in January of each year" so instead of calculating my BIK at the normal 6%(my car is below €24k and I do about 75k kms per year so always the lowest BIK percent).

I rang The Tax office and they hadn't a clue what I was talking about. Said it's the employers onus to do this.

I have my itemised mileage records, recorded daily. Where do I even start trying to get back my 27% bik per month from...............somebody?

Thanks in advance.

I think there's some confusion here.

What are they talking about, claim it back? BIK is a chargeable gain to you, for the benefit of the use of the car. You pay tax on the chargeable gain. So what is there to claim back.

Revenue are right - whether the employer likes it or not, the onus is on them to calculate and charge the BIK in your salary.

I'm not sure what you mean by trying to get back your 27% per month from?

Berty

There lies the confusion so.

After speaking to a colleague who has been paying full BIK all year he also presumed he could get a refund of overpayment by submitting his BIK.

I got the information from my direct manager because that is what the other guys have been doing. Turns out, after speaking to said guy, he hasn't.

He's now shocked to hear that it's not the case so will have to research it further with the CFO.

I'm submitting my December mileage and get it processed through payroll this month and see what happens.

Sounds like even the long term employees who came out of commercial cars into BIK chargeable cars have been getting shafted and didn't know it.