A company’s payroll policy often grows on its own: one employee gets a car, another an allowance for remote work, a third a gym membership. After a few years nobody knows exactly which of these are benefits in kind and how they should be taxed.
Start with a list
List all the benefits employees receive in non-cash form: cars, phones, meals, insurance, training, gifts, allowances. Next to each, note how it is taxed and whether it is reflected in the payroll.
The most common gaps
Company cars. If a car is also used for private purposes, this is a benefit in kind subject to personal income tax and social security contributions. Trip logs or usage rules must be clear.
Gifts. Only part of the value of gifts per year is tax-free — above the limit, taxes are calculated on the entire excess.
Remote work allowances. They are tax-free only when set out in the company’s rules and justified.
Why it is worth doing now
A tidy policy reduces the risk during an inspection and lets employees see clearly how much their remuneration package is really worth. It often becomes an argument in salary negotiations, too.
We can review your payroll rules and prepare the missing documents.
