Assets made available to an employee

Posted on 25th January 2024 by Streets - Payroll

Assets such as computers, televisions and bicycles that are made available to employees can create certain tax, National Insurance and reporting obligations. There is no requirement to report anything to HMRC if the asset is office equipment only used for business use. Assets that are made available as part of a salary sacrifice arrangement will usually need to be reported to HMRC.

If the assets are for personal and business use, then they must be reported on a P11D form and Class 1A National Insurance will be due on the value of the benefit. A P11D form is a form used by employers to list certain ‘benefits in kind’ provided to directors or employees.

Working out the value of an asset made available to an employee can be quite complex and there are various steps that need to be followed depending on the circumstances at hand.

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