Research shows a lack of understanding amongst employees on the taxation of benefits in kind 2 July 2019
Research for HMRC exploring the incidence and nature of non-taxable benefits in kind received by employees in the UK has been published
Research exploring the incidence and nature of non-taxable benefits in kind received by employees in the UK has been published on GOV.UK, revealing that just over a third of employees knew that benefits and perks provided by employers were sometimes subject to income tax and National Insurance contributions. The research was commissioned by HMRC with the key aims being to: • quantify the number of employees receiving different non-taxable BiKs; • explore if there are differences in the incidence of non-taxable BiKs, based on various sectoral and individual factors; and • gather an understanding of the value employees put on BiKs, how remuneration packages are agreed between employers and how well employees understand the rules behind the taxation of BiKs.
The research involved 1,528 interviews with employees across all key sectors in the UK.
The research also revealed that the majority of employees were offered at least one non-taxable BiK by their employer but there were clear variations by sector with a much greater proportion of employees in ‘white collar’ sectors being offered, and accepting, benefits.
The research shows that the five most commonly used non-taxable BiKs were: • an annual party • free or discounted products or services for staff • mobile phone • parking • free or subsidised meals
You can read the full report on GOV.UK
Back to Contents
Gift cards increasingly popular incentive among businesses 3 July 2019
The volume of businesses using gift cards as part of their reward, incentive and loyalty schemes has seen a significant uplift year-on-year, according to the latest research published by the UK Gift Card & Voucher Association.
The volume of businesses using gift cards as part of their reward, incentive and loyalty schemes has seen a significant uplift year-on-year, according to the latest research published by the UK Gift Card & Voucher Association (UKGCVA).
The State of the Nation report, compiled by GlobalData and sponsored by First Data, found that the B2B gift card market has seen an impressive 20.5% growth year-on-year.
Employee incentive schemes are a particularly key avenue for this growth, with over a fifth (21.1%) of Brits receiving gift cards through these programmes. This figure rises to 29.9% for millennial and Generation Z workers – those aged between 16 and 34 – suggesting that gift cards are a popular method for engaging with the younger generation, and likely to rise in popularity in future. Encouragingly, this has also been recognised by organisations offering gift cards, with more than six in 10 gift card managers (61.5%) looking to develop direct relationships with businesses wanting to reward their staff. A further 43.6% are also developing partnerships with the likes of price comparison businesses, energy providers and media
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
Page 228 of 629
Made with FlippingBook - Online magazine maker