[UK] HMRC confirms simplification of original 2027 Payrolling mandate

In the UK, HMRC has confirmed a simplification of its original Payrolling mandate by phasing in its introduction, PAYadvice reports.

For April 2027 preparation, the following information should be noted.

It has reportedly been confirmed that mandatory Payrolling of benefits and introduction of Class 1A apply to:

• Company Cars and Fuel (F)

• Medical (I)

• Company Vans and Fuel (G)

These benefits are said to account for 80% of employer-provided benefits in kind (BiK).

Other benefit types might be voluntarily payrolled. However, mandation is delayed until future phases commencing from April 2028.

PAYadvice confirmed that “Company Cars” includes those provided by salary sacrifice and other Optional Remuneration Arrangements (OpRA).

Source: PAYadvice 

In the UK, HMRC has confirmed a simplification of its original Payrolling mandate by phasing in its introduction, PAYadvice reports.

For April 2027 preparation, the following information should be noted.

It has reportedly been confirmed that mandatory Payrolling of benefits and introduction of Class 1A apply to:

• Company Cars and Fuel (F)

• Medical (I)

• Company Vans and Fuel (G)

These benefits are said to account for 80% of employer-provided benefits in kind (BiK).

Other benefit types might be voluntarily payrolled. However, mandation is delayed until future phases commencing from April 2028.

PAYadvice confirmed that “Company Cars” includes those provided by salary sacrifice and other Optional Remuneration Arrangements (OpRA).

Source: PAYadvice