Rel 13-23A Taxable Benefits in Kind

Oracle
Fusion
HCM (UK):
Taxable Benefits in
Kind
PRODUCT PAPER / JANUARY2023
2 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind
PURPOSE STATEMENT
This document provides an overview of features and enhancements included in
release 13. It is intended solely to help you assess the business benefits of
upgrading and to plan your I.T. projects.
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TABLE OF CONTENTS
Purpose Statement...................................................................................... 3
Introduction ................................................................................................. 7
Overview of Processing Benefits through Payroll and P11D ....................... 8
Benefit Types .............................................................................................. 8
Data Capture ............................................................................................... 9
Organization................................................................................................................................. 9
Person ....................................................................................................................................... 10
Legislative Data ......................................................................................... 12
Elements ................................................................................................... 13
Balances ................................................................................................... 15
Benefits Processed Balances .................................................................................................... 15
Balance Feeds .......................................................................................... 17
Benefit Type ............................................................................................................................... 17
Benefits Taxed through Payroll .................................................................................................. 17
Taxable Pay ............................................................................................................................... 17
NIable Pay ................................................................................................................................. 17
NIable Earnings for Class 1A NICs ............................................................................................ 17
Recording Employee Benefits ................................................................... 18
Calculation Component Details .................................................................................................. 19
Basic Benefit Information - Common Attributes ......................................................................... 24

Assets Transferred..................................................................................................................... 26
Payments Made on Behalf of Employee .................................................................................... 28
Employer Provided Living Accommodation ................................................................................ 30
Mileage Allowance ..................................................................................................................... 35
Car and Car Fuel Benefit Component ........................................................................................ 38
Van and Van Fuel Benefit .......................................................................................................... 45
Qualifying Relocation Expenses and Benefits............................................................................ 49
Assets at Employee Disposal Component ................................................................................. 51
Other Items ................................................................................................................................ 52
Interest Free Loans .................................................................................................................... 54
Payments Made on Behalf of Employee .................................................................................... 56
Processing Benefits-in-Kind for Tax and NI............................................... 59
Benefits and Calendar Year ....................................................................................................... 59
Changing Payrolling of Benefits to P11D ................................................................................... 59
OpRA Rules ............................................................................................................................... 59
Elements and Input Values ........................................................................................................ 60

Table of Figures
Figure 1 Set up options for Taxable Benefits for Organization - Taxable Benefits Calculation Card Details ............................ 9
Figure 2 Add Taxable Benefits for Person - Create Taxable Benefits Calculation Card. ....................................................... 10
Figure 3 Calculation Card Components available for each Benefit Type ............................................................................... 11
Figure 4 Organization Calculation Card - Taxable Benefits ................................................................................................... 18
Figure 5 Navigate to => Calculation Cards and add a Calculation Component. .................................................................... 19
Figure 6 Create Taxable Benefits Calculation Card for the employee first ............................................................................ 20
Figure 7 Add the Calculation Component for the Benefit by selecting from the list................................................................ 20
Figure 8 Basic Benefit Component Details has very little data and is common across the benefit types with simple structure.
.............................................................................................................................................................................................. 24
Figure 9 Component Details for benefit type of Assets Transferred ...................................................................................... 27
Figure 10 Payments Made on Behalf of Employee Component Details ................................................................................ 28
Figure 11 Set up basic details of the accommodation provided ............................................................................................ 30
Figure 12 Employer Provided Living Accommodation Component Details ............................................................................ 32
Figure 13 Step 1- Add the Basic Mileage Details Parent component .................................................................................... 36
Figure 14 Step 2 - Create Child component Mileage Allowance Payments Claims for the parent component ...................... 37
Figure 15 Enter data as required on the child component ..................................................................................................... 37
Figure 16 Calculation Components for Car and Car Fuel Benefit .......................................................................................... 39
Figure 17 Step 1 Set up Basic Car Information for each car provided in the tax year............................................................ 39
Figure 18 Step 2 – Enter data on Car Processing details for the car ..................................................................................... 41
Figure 19 Fuel Processing Details should be entered where there is provision of fuel for car. .............................................. 42
Figure 20 Add instances Period of Unavailability of car using the child component of the parent car component ................. 43
Figure 21 Enter additional number of days’ car was unavailable ........................................................................................... 44
Figure 22 Van and Van Fuel Component Details .................................................................................................................. 45
Figure 23 Van Processing Details ......................................................................................................................................... 45
Figure 24 Fuel Processing Details for Van ............................................................................................................................ 47
Figure 25 Select Period of unavailability for the relevant parent component of van............................................................... 48
Figure 26 Period of unavalilbility for van................................................................................................................................ 48
Figure 27 Qualifying Relocation Expenses and Benefits Details ........................................................................................... 49
Figure 28 Assets at employees disposal ............................................................................................................................... 51
Figure 29 Other Items Component details............................................................................................................................. 53
Figure 30 Interest Free and Low Interest Loans .................................................................................................................... 55

INTRODUCTION
This paper identifies and describes the processing of benefits through

payroll and P11D reporting.
The benefits provided to employees as part of their employment contract are

subject to tax and national insurance. Earlier, employers would report the
cash equivalent of these benefits to HMRC on the P11D report. HMRC
would deduct the tax due for these benefits through the employee’s tax
code.
HMRC introduced a legislation in 2016 to provide a statutory basis for the

payrolling of benefits. This means that employers can deduct the tax due on
the benefit directly through payroll. This is an optional process and
employers can choose if they report benefits using P11D reporting option or
process them through the payroll.
You can have a combination of different types of benefit, either of P11D

reporting or processing through payroll, provided the benefit type can be
processed by payroll. Currently, HMRC regulations allow two benefit types
to be reported only through P11D.
Whether you process benefits through payroll or by P11D reporting,

consider the following:
If processing benefits in payroll, you must give prior notification to HMRC of

all the benefit types you intend to process through payroll.
If using P11D reporting, you must report any benefits-in-kind not processed
through payroll on the P11D at the end of the tax year.

OVERVIEW OF PROCESSING BENEFITS THROUGH PAYROLL AND P11D
The processing of benefits in kind using payroll means that if the benefit provided to your employee has a tax
implication, that is, a taxable cash equivalent, then the employee is taxed each period. In other words, the
employee’s taxable income includes the value of taxable benefit.
Although the feature includes both payrolling of benefits and P11D Reporting, currently, the scope of this
document includes only payrolling of benefits. However, it does cover some basic information required for
P11D reporting. For more information on the full feature for P11D Reporting, see the product paper Benefits in
Kind: P11D and P46(Car) Reporting on My Oracle Support (MOS).
BENEFIT TYPES
These benefits are grouped as Benefit Type as given by HMRC:
• Assets Transferred
• Payments made on behalf of employee
• Mileage allowance payments
• Vouchers and credit cards
• Employer provided living accommodation
• Interest free and low interest loans
• Cars and car fuel benefit
• Vans and van fuel benefit
• Private medical insurance
• Qualifying Relocation and expenses
• Services supplied
• Assets placed at employee disposal
• Expenses payments made on behalf of employee
• Other items

DATA CAPTURE
Organization
As an employer, you must decide and agree with the HMRC the benefits you will process by payroll and which
ones you will report on the P11D for your employees.
HMRC states that most of the benefits can be set up for processing by payroll. You must indicate at
organization-level for a Tax Reporting Unit (TRU), all benefits that you wish to process through payroll.
You can use the Taxable Benefits calculation card to select by benefit type, if that benefit is to be processed in
payroll. If there is no calculation card present at TRU, then the default is P11D reporting.
A calculation card must exist at the organization level listing the benefits that you want to process through
payroll.
You must report the following benefit types by P11D only as per HMRC:
• Qualifying Relocation and expenses
• Interest free and low interest loans
Hence, you can only select the option of P11D Reporting for these two benefits on the calculation card. The
default is P11D reporting so it is not necessary to indicate a choice here.
Figure 1 Set up options for Taxable Benefits for Organization - Taxable Benefits Calculation Card Details

Person
You can create a taxable benefits calculation card for a person by using the Manage Calculation Cards task.
Figure 2 Add Taxable Benefits for Person - Create Taxable Benefits Calculation Card.
Figure 3 Taxable benefits Calculation card falls under the Component group of Benefits

Figure 3 Calculation Card Components available for each Benefit Type
Once the card is created, you can create the calculation components for the benefits.
For each benefit you provide to the employee, use the relevant calculation card component to enter the
required data. Each Calculation component corresponds to different component details with attributes
depending on the information required to calculate the cash equivalent for that benefit.
You can create these components anytime during the tax year with an effective date, as required.
Any benefit that runs across multiple tax years must be entered as annual values, for example, Cars, Vans, and
Loans. The processing rule (present on the Calculation Component Details) determines if it is an annual benefit
that needs to be calculated down to a periodic value or one that needs to be taxed as the whole amount in the
one period.
YOU MUST ENTER THE DATA FOR ALL TAXABLE BENEFITS ON THE TAXABLE BENEFITS CALCULATION CARD
REGARDLESS OF WHETHER THEY ARE REPORTED ON P11D OR PROCESSED BY PAYROLL.

LEGISLATIVE DATA
There are many rates and limits as defined by legislation used for calculations performed on certain benefits.
These values are updated whenever there are legislative changes. The following table lists the value definitions
for the various benefits:
VALUE DEFINITIONS
Rates Supplied Description
Official Mileage Allowance Rates Exemption Rate - Cars and Vans
CO2 Emissions 2017-18 CO2 Emissions g/km Cars and Vans Type B
CO2 Emissions for Fuel Type D vehicles CO2 Emissions - Diesel Supplement
CO2 Emission threshold CO2 Emission threshold
Engine size2017-18 Fuel Type A Engine Size Fuel Type A
Engine size2017-18 Fuel Type B Engine Size Fuel Type B
NI Class 1A Rate Employer NI Class 1A Rate
Car and Fuel Standard Charges Car Fuel Benefit charge
Relocation Exempt Amount Qualifying Relocation Expenses Exempt Amount
Loans Official Rate of Interest

ELEMENTS
The elements for the benefits-in-kind feature are created when a benefit component is created. There can be
up to two elements entries created depending on whether it is a simple or complex calculation:
• Calculation element (triggers the formula calculation) – Benefits with basic information will have only
one element entry.
• Results Element (stores the results of the calculations and other relevant information) – Benefits with
interim calculation or rates to be fetched have both calculation element and this element.
You must create eligibility for the elements before the Taxable Benefit components are created for an
employee.
This is the list of predefined elements available and the eligibility requirements:
Create
Element Name
Eligibility
Assets Transferred Processor Yes
Assets Transferred Result
Payments Made On Behalf Of Employee Processor Yes
Payments Made On Behalf Of Employee Result
Vouchers and Credit Cards Processor Yes
Vouchers and Credit Cards Result
Mileage Allowance Payments Processor Yes
Mileage Allowance Payments Calculator
Mileage Allowance Payments Result
Car And Car Fuel Processor Yes
Car and Car Fuel Calculator
Car and Car Fuel Result
Van And Van Fuel Processor Yes
Van And Van Fuel Result
Private Medical Treatment Or Insurance Processor Yes
Private Medical Treatment Or Insurance Result
Qualifying Relocation Expenses Processor Yes
Qualifying Relocation Expenses Calculator
Qualifying Relocation Expenses Result
Service Supplied Processor Yes
Service Supplied Result

Create
Element Name
Eligibility
Assets Placed At Employees Disposal Processor Yes
Assets Placed At Employee Disposal Result
Other Items Processor Yes
Other Items Result
Expenses Payments Processor Yes
Expenses Payments Result
All Processor elements require an eligibility created before they can be used.
To ensure that the benefit’s cash equivalent are calculated using the elements in the payroll process:
1. Create the eligibility for the benefit element, that is, the processor element.
2. Create the new benefit.
3. Create the benefit component for the type of benefit. This creates an element entry.
4. Create the association at TRU level with the association details:
a. Link the benefit with the assignment and identify which taxable or NIable balance must be
updated with benefit’s taxable cash equivalent
b. Each Benefit calculation component must have an association and association details
created
c. This is a one-time activity
When you run payroll, the indirect element result is posted to the relevant result element and calculator
element.
Some benefit types only create one resulting element whereas others will also create an additional calculator
element. The calculator element is used for benefit types that require complex calculations, use rates, and
lookup tables, or require an audit of the interim results or values to be available.
For a full list of all the elements and their input values, see Appendix A.

BALANCES
Benefits Processed Balances

Each benefit type has a predefined balance available, which is maintained by the payroll process. Any benefits
reported by P11D must be manually updated using Balance Adjustment.
BALANCES FOR BENEFIT TYPE
Payroll P11D
Balance Balance Category
Processing Reporting
Assets Transferred Taxable Benefits Automatically N/A

maintained
Payments on Behalf of Employee Taxable Benefits Automatically N/A

maintained
Mileage Allowance Taxable Payments Taxable Benefits Automatically N/A

maintained
Mileage Allowance Taxed Taxable Benefits Automatically N/A

maintained
Mileage Allowance Taxable Payments Taxable Benefits Automatically N/A

maintained
Mileage Allowance Payments Taxable Benefits Automatically N/A

maintained
Vouchers and Credit Cards Taxable Benefits Automatically N/A

maintained
Car Benefit Taxable Benefits Automatically N/A

maintained
Car Fuel Benefit Charge Taxable Benefits Automatically N/A

maintained
Van Benefit Taxable Benefits Automatically N/A

maintained
Van Fuel Benefit Charge Taxable Benefits Automatically N/A

maintained
Private Medical Taxable Benefits Automatically N/A

maintained
Qualifying Relocation Expenses and Benefits Taxable Benefits Automatically N/A

maintained
Service Supplied Taxable Benefits Automatically N/A

maintained
Assets at Employee Disposal Taxable Benefits Automatically N/A

maintained
Other Items Class 1A Taxable Benefits Automatically N/A

maintained

Payroll P11D
Balance Balance Category
Processing Reporting
Other Items Non-class 1A Taxable Benefits Automatically N/A

maintained
Entertainment Expense Payments Taxable Benefits Automatically N/A

maintained
Payment For Use of Home Phone Expense Payments Taxable Benefits Automatically N/A
maintained
Non-qualifying Relocation Expenses Payments Taxable Benefits Automatically N/A

maintained
Travel and Subsistence Expenses Payments Taxable Benefits Automatically N/A

maintained
Travel and Subsistence Expenses Payments Taxable Benefits Automatically N/A

maintained
Other Expenses Payments Taxable Benefits Automatically N/A

maintained
Living Accommodation N/A N/A N/A
Interest Free Loans N/A N/A N/A
NIable Earnings for Class 1A NICs Total Taxable Benefits Automatically N/A
maintained
Assets Transferred Taxation Period Information Automatically N/A

maintained
Payments Made on Behalf of Employee Taxation Period Information Automatically N/A

maintained
Vouchers and Credit Cards Taxation Period Information Automatically N/A

maintained
Car and Car Fuel Benefit Taxation Period Information Automatically N/A
maintained
Van and Van Fuel Benefit Taxation Period Information Automatically N/A
maintained
Private Medical Taxation Period Information Automatically N/A

maintained
Services Supplied Taxation Period Information Automatically N/A

maintained
Assets at Employee Disposal Taxation Period Information Automatically N/A

maintained
Other Items Taxation Period Information Automatically N/A

maintained
Expense Payment Taxation Period Information Automatically N/A

maintained

BALANCE FEEDS
If you’re processing a benefit through payroll, the relevant balance feeds ensure that the calculations and
processing for the following periods is correct. The benefits reported on P11D don’t require this as there is no
processing involved and must be updated manually using Balance Adjustment.
BALANCE FEEDS
Benefits
Taxed NIable Earnings
Benefit Type Taxable Pay NIable Pay
through for Class 1A NICs
Payroll
Assets Transferred Y Y N Y
Payments Made On Behalf Of Employee Y Y N N
Vouchers and Credit Cards Y Y N N
Mileage Allowance Payments Y Y Y N
Cars and Car Fuel Y Y N Y
Vans and Van Fuel Y Y N Y
Private Medical Treatment or Insurance Y Y N Y
Qualifying Relocation Expenses Y Y N Y
Service Supplied Y Y N Y
Assets Placed At Employee Disposal Y Y N Y
Other Items Y Y N Y
Expenses Payments Y Y N N

RECORDING EMPLOYEE BENEFITS
DEFAULT VALUES AT ORGANIZATION LEVEL
You must indicate at organization-level, whether a benefit will be processed through payroll for all employees
within a TRU or reported on P11D. You must create a Taxable Benefits calculation card and set the value for
each benefit.
It is recommended that you review the options as part of the Start of Year tasks.
Figure 4 Organization Calculation Card - Taxable Benefits
You can set each of the options as:
» Payroll
» P11D Reporting
The above options are available for all benefits, except these:
» Interest Free and Low Interest Loans
» Qualifying Relocation Expenses
You can only select P11D for these two benefits as stated by HMRC.
The organization default values apply to all employees in the TRU. You can override this at the individual
employee-level, if required. Consider the following while setting up options for the TRU:

» If there is no TRU calculation card, it implies P11D Reporting for all employees within that TRU
» If you set the option for a benefit for the TRU, you can only change it when the tax year changes.
» Any change required during the tax year must be made at the employee level in the benefits calculation
component.
» If you want to change the employee’s Benefit calculation component option to P11D Reporting, you can do
this any time in the tax year
» You cannot change it back to payroll, if you set it to P11D.
» Employee’s Benefit calculation component option cannot be changed to payroll processing if the TRU
option is set to P11D Reporting
Calculation Component Details

Each benefit type has a corresponding calculation component where you enter the required data that generates
the cash equivalent value for that benefit. You can report this in P11D or it is added as a taxable benefit to the
employee’s taxable pay during the payroll run.
To set up the calculation component:
1. Search for the employee and select the Calculation Cards task from the Payroll Calculations work
area.
Figure 5 Navigate to => Calculation Cards and add a Calculation Component.
2. Click Create.
3. Select the effective date and Taxable Benefits calculation card:

Figure 6 Create Taxable Benefits Calculation Card for the employee first
4. Click Add (+) icon to create a calculation component.
5. Select the calculation component from the list of benefits.
Figure 7 Add the Calculation Component for the Benefit by selecting from the list
6. Click Save.

CALCULATION COMPONENT RULES
All component details have some common segments with similar behavior for all benefit types. These fields will
therefore have the same validation and processing rules applied to the data entered. The following rules will
apply to the data entered for the common fields, if the field is present within the benefit component details
structure:
» Reporting and Processing
» Available from Date
» Available to Date
» Tax Processing Rules
» Overriding Description for P11D
» Amount Forgone
REPORTING OR PROCESSING
This field is present on most of the Component Details. You can override values set at the organization level,
indicating if the benefit is to be processed in payroll or reported on P11D. If a benefit is set up as Payroll
Processing at the organization level, you can change the option here during the year to ‘P11D Reporting’.
HMRC must be notified and get approval for all benefits that you as an organization, will be processing via
payroll. At the start of each tax year set the option accordingly for the benefit types on the Organization
Calculation Card for Taxable benefits.
The default option is P11D Reporting if no entry is specified for the benefit type or no calculation card is created
as the organization level.
AVAILABLE FROM AND TO DATES
Use Available from and to dates to achieve prorated value of the benefit.
These dates will ensure that value of the benefit being calculated is prorated correctly – especially for mid-
period terminations.
So for example, if the benefit component is created with an effective date of 25 January but the actual benefit is
not effective until 1 February, the Available from Date should be entered as 01-Feb. This will ensure that the
benefit taxable amount is calculated in payroll from that date and not the benefit component effective date.
Similarly, if an employee is leaving/left in March, the Available date should be entered as the date to which the
benefit will be active, for example, 10-March (the leave date) It is recommended that the component is not end
dated when the employee is terminating because if it is, then the component will not be picked up in the payroll
run. The Available to Date should be used for the correct proration to occur.
To ensure the taxable amount for a benefit’s prorated value is calculated in payroll for a terminating employee,
you mustn’t end date the component.

TAX PROCESSING RULE
Tax Processing Rule indicates if the taxable amount calculated for the benefit must be added to taxable pay for
the period indicating a one-time tax liability or if it should be spread across tax periods in the tax year.
The two options are:

» Taxed in next available payroll period (default): This option is only for one-off benefits such as Assets
transferred where the cash equivalent may be too large an amount to be added to the taxable pay. With this
option, the employee may end up with a big tax bill that period.
» Taxed across remaining payroll periods: Select this option to spread the tax across payroll periods. The
taxable cash equivalent amount will be divided by the number of periods remaining in the tax year and the
periodic value added to the taxable pay each period.
For example, assume that you transferred an expensive set of photographic equipment to your employee in
during the tax period during the 7th month of the tax year, paid monthly and the cash equivalent came to £5600.
With the default option, the whole amount is added to the taxable pay causing a huge spike in tax deduction for
that period. If you select the option Taxed across remaining payroll periods, the cash equivalent value is spread
across the remaining tax periods, which is the remaining 5 months. Hence, £1120 is added each period to the
taxable amount.
Tax Processing Rule is only relevant and applicable to the benefits processed through payroll. It is not relevant
for benefits reported on P11D.
OVERRIDING DESCRIPTION FOR P11D
The benefits set up for reporting on P11D are generated as an XML file that will be sent to HMRC. Some of
these benefits may require a description to be reported as stipulated by the P11D business rules. If you are
reporting a benefit on P11D and there is a field Overriding Description for P11D on the component details, you
must select a value from the given choice list.
HMRC may reject your P11D submission or person’s record on the file submitted, if you fail to provide the
required description as required by the XML structure.
You don’t need an overriding description for benefits processed through payroll. It is only applicable for benefits
reported on P11D.
AMOUNT FOREGONE
From tax year 2017- 2018, employers can offer Optional Remuneration Arrangements (OpRA) as per
legislative changes. Special rules apply when calculating the taxable cash equivalent for a benefit if an
employee forgoes an amount of salary in relation to a taxable benefit. This amount foregone is compared and
used as the taxable amount if it is higher than the calculated taxable amount of the benefit.
Several benefits are governed by the OpRA rules. If you enter the amount forgone for a benefit, this is
considered in the calculations according to the rules given by HMRC.

Basic Benefit Information - Common Attributes
Some benefits require very little information to process and calculate the cash equivalent taxable amount. This
information is common across these benefit types and covers the following benefit types:
• Vouchers and Credit Cards
• Private Medical Treatment or Dental Insurance
• Service Supplied
Once you have added the calculation card for any of the above mentioned benefit types for your employee, you
can enter the details for Basic Benefit Information.
Figure 8 Basic Benefit Component Details has very little data and is common across the benefit types with simple
structure.

BASIC BENEFIT INFORMATION COMPONENT
Optional or
Field Format Description
Mandatory
Reporting or Processing O Single Select Choice List: Complete

P11D Reporting this field only
if the option
Payroll Processing at the
organization
level is
Payroll
Processing
but the
benefit will
now be
reported on
P11D.
Once it is set
to P11D
Reporting,
you cannot
change this
back to
Payroll
Processing
for the rest of
the tax year.
Available from Date M Date This is the date from when the benefit needs to be
processed in the payroll.
Available to Date Date Enter the date to which benefit needs to be processed
I payroll. After this date the processing of the benefit
will stop and the appropriate proration will take place to
ensure correct taxable value is calculated.
Cost to You or Amount M Money Enter a value

Foregone between 0 to
9999999.99
For P11D
benefit, the
value should
be the total
annual value
For benefits
processed,
this value is
the value of
the benefit
provided as
given at the
time.
If you give an
annual value
here, then
set the Tax
Processing

Rule to tax
across
remaining
payroll
periods.
If there is an
amount
foregone by
the
employee,
enter this
amount or
the cost to
you,
whichever is
higher.
Is the cost to you an O Checkbox If your

annual amount benefit year
runs from
January to
December,
use this flag
to ensure the
calculation of
the benefit
for the tax
year is
correct.
Amount Made Good O Money Enter a value

between 0 to
9999999.99
Tax Processing Rule O Single Select Choice List: This field is

Taxed in next available only
payroll period applicable for
the benefits
Taxed across remaining processed
payroll periods through
payroll.
The default
is Taxed in
next
available
payroll
period.
Assets Transferred
You can add this component and enter the required information:

Figure 9 Component Details for benefit type of Assets Transferred
ASSETS TRANSFERRED
Optional or
Mandatory
Reporting or Processing O Single Select Choice List: Complete this field only if the option at the
P11D Reporting organization level is Payroll Processing but
the benefit will now be reported on P11D.
Payroll Processing
Once it is set to P11D Reporting, you
cannot change this back to Payroll
Processing for the rest of the tax year.
Available from Date M Date This is the date from when the benefit
needs to be processed in the payroll.
Available to Date Date Enter the date to which benefit needs

to be processed I payroll. After this
date the processing of the benefit will
stop and the appropriate proration will
take place to ensure correct taxable
value is calculated.
Cost to You or Amount Foregone M Money Enter a value between 0 to 9999999.99

For P11D enter the total value of all assets
transferred in the tax year.
If benefit is processed, enter the value of
the relevant asset.
If there is an amount foregone by the
employee, enter this amount or the cost to
you, whichever is higher.
Amount Made Good O Money Enter a value between 0 to 9999999.99
Overriding Description for P11D O Free Format text Only enter a description, if the benefit is for
P11D Reporting.

Tax Processing Rule O Single Select Choice List: This field is only applicable for the benefits
Taxed in next available processed through payroll.
payroll period The default is Taxed in next available
Taxed across remaining payroll period.
payroll periods
Payments Made on Behalf of Employee

You can add this component and enter the required information:
Figure 10 Payments Made on Behalf of Employee Component Details
PAYMENTS MADE ON BEHALF OF EMPLOYEE
Optional or
Mandatory
Reporting or Processing O Single Select Choice List: Complete this field only if the option at
P11D Reporting the organization level is Payroll
Processing but the benefit will now be
Payroll Processing reported on P11D.
Available to Date Date Enter the date to which benefit needs to

be processed I payroll. After this date the
processing of the benefit will stop and the
appropriate proration will take place to
ensure correct taxable value is
calculated.
Payment Amount M Money Enter a value between 0 to 9999999.99

For P11D enter the total value of all
payments made in the tax year.

the individual payment made at the time
of processing.
Tax on notional payment O Money Enter a value between 0 to 9999999.99

not borne by employee
Tax Processing Rule O Single Select Choice List: This field is only applicable for the
Taxed in next available payroll benefits processed through payroll.
period The default is Taxed in next available
payroll periods

Employer Provided Living Accommodation
Living accommodation has two components that you must add separately:
• Employer Provided Living Accommodation
• Basic Accommodation Details
Both of these components should be created for this benefit. The information is not only required for calculation
of the taxable amount but also for printing on the P11D Worksheet 1. This benefit can’t be set up for processing
via payroll and must only be reported on P11D as per HMRC directive.
The Organization level option for this benefit level will always be defaulted to ‘P11D Reporting’.
BASIC ACCOMMODATION DETAILS
You can use this component to record the address of the accommodation that is required for P11D reporting.
Figure 11 Set up basic details of the accommodation provided
BASIC ACCOMMODATION DETAILS
Optional or
Field Format
Mandatory

Address Line 1 M Free Format text
Address Line 1 OM Free Format text
Town or City M Free Format text
Post Code O Free format text
Country O LOV of countries
EMPLOYER PROVIDED LIVING ACCOMMODATION DETAILS
On this component, you can enter information used to calculate the taxable amount for the benefit.
All amounts entered here are treated as annual values as this is reported on P11D and not processed by
payroll. Therefore, if the benefit is not provided for the full year, the value should be the total amount of
accommodation for the tax year. All attributes on this component are an exact reflection of the Working Sheet 1
of the P11D. The worksheet items not seen on the component are derived or calculated using the rest of the
values provided here.

Figure 12 Employer Provided Living Accommodation Component Details
EMPLOYER PROVIDED LIVING ACCOMMODATION
Optional or
Mandatory
Single select choice list:

Reporting or Processing O This field is irrelevant for this benefit as it is always
P11D Reporting
defaulted to P11D Reporting.

Payroll Processing
Rental Value of the Property O Money Enter a value between 0 to 9999999.99
Annual Value O Enter a value between 0 to 9999999.99
Amount Made Good O Money Enter a value between 0 to 9999999.99
Enter a value between 0 to 9999999.99

Amount Foregone O Money
The amount entered here is the actual amount the
employee has forgone for the benefit.
If it is present, the forgone value is compared to
the calculated cash equivalent derived.
The higher of the two values is taken as the
taxable amount or this benefit.
Enter a value between 0 to 9999999.99

Cash Equivalent P11D override O Money
amount If entered, this value is used instead of the
calculated value for the taxable amount of the
benefit.
Cost of Accommodation O Money Enter a value between 0 to 9999999.99
Payment Made by Employee O Money Enter a value between 0 to 9999999.99
Enter the number of days.

Number of Days Accommodation O Number
Provided Days entered cannot be greater than the number of
days remaining in the tax year
Rent Paid by Employee O Money Enter a value between 0 to 9999999.99
Other Rent Amount Already O Money Enter a value between 0 to 9999999.99

Included
Expenses incurred O Check box Select if provided to employee
Heating O Check box Select if provided to employee
Lighting O Check box Select if provided to employee
Repair and decoration O Check box Select if provided to employee
Furniture given or transferred O Check box Select f provided to employee
Annual value of the use of O Check box Select if provided to employee

furniture

Other O Free format A/N 35 Enter any other benefit provided to employee that
is not covered in the list above.

Mileage Allowance
MILEAGE ALLOWANCE BALANCE
The mileage allowance payment amount must be calculated accurately whether you pay an allowance to your
employees who claim this benefit by payroll or directly to the employee outside of payroll. The Mileage
Allowance amount must be added to a predefined balance available to hold this amount. If you have an
element set up for this allowance payment, it should feed this balance.
If you have set up P11D reporting for this benefit, you must update this balance prior to running the process for
P11D reporting.
The following balances are predefined for the Allowance Payment:
• Mileage Allowance Amount Taxed
• Mileage Allowance Amount not Taxed
You must set up the balance feeds appropriately from elements used for payment or update the balances at
year-end for P11D reporting – whichever is relevant.
MILEAGE ALLOWANCE BENEFIT COMPONENTS
The following are the components for mileage allowance benefit:
• Basic Mileage Details (Parent Component)
• Mileage Allowance and Payments (Child Component)
To set up mileage allowance and payment claims benefit, you must first set up the parent component - Basic
Mileage Details. Once the parent component is created, you can add the component details Mileage Allowance
and Payments. When creating the child component, you will need to select the appropriate parent component
with the unique reference. The unique reference links the parent and child components.
You can set up the mileage components in one of the following two ways
• Multiple child component each relating to individual claims with different effective start dates (or)
• Single child component with values updated each time a mileage claim is entered, to cumulative year
to date amounts.
In either case, the effective dates should be within the relevant tax year.
Both the parent and child components must be open ended for the process to calculate the taxable value of the
benefit. Payroll process will take the information entered and calculate the correct periodic taxable amount for
the benefit. For P11D, enter the values as annual amounts.
At the end of the year both the parent and child component will be end dated with the Tax Year End date. You
must then create new Parent and Child components for Mileage with the relevant dates for the new tax year, as
required.

Figure 13 Step 1- Add the Basic Mileage Details Parent component
BASIC MILEAGE DETAILS
Optional or
Attribute Format Description
Mandatory
Reporting or Processing O Predefined values of: Complete this field only if the option at
P11D Reporting the organization level is set to payroll
processing, but the benefit will now be
cannot change it back to payroll
processing for the rest of the tax year.
You must end date the ‘processing’
component and the related child
components and start a new
component with the effective date from
when the P11D reporting is required.
The values on this new component
should not include the amounts taxed
through payroll.
Kind of Vehicle M Predefined values of: Select an appropriate value.

Car or Van
Motor Cycle
Cycle
Optional remuneration arrangement O Check Box Select this check box, if you operate
OpRA and the employee has foregone
an amount for this benefit.
Cash Equivalent or Relevant Amount O Money Enter a value between 0 to 99999999

This is the cash equivalent or relevant
amount of the mileage allowance
benefit provided.
Add the child component for Mileage Allowance Payments. Select the parent component against which
the mileage claims are to be made:
Figure 14 Step 2 - Create Child component Mileage Allowance Payments Claims for the parent component
Figure 15 Enter data as required on the child component
MILEAGE PAYMENT CLAIMS
Optional or
Mandatory
Business Miles Travelled M Number Enter a value between 0 to

Reimbursed 99999999

This is the amount you have already
paid the person as reimbursement.
Business Miles Travelled not O Number Enter a value between 0 to

Reimbursed 99999999
Enter the number, if miles travelled
that have not been reimbursed yet.
Mileage Payment Made O Money Enter a value between 0 to

9999999.99.
Enter any mileage amount paid
already.
MILEAGE RATES
The predefined mileage rates used to calculate the payments are maintained as per the legislative
requirements in each year.
The miles claimed you enter on the Mileage Payment Claims feed the appropriate balances to determine what
rates are applied, that is, one rate for mileage up to 10,000 and another for anything above 10,000.
Car and Car Fuel Benefit Component

A car allocation can span over tax years, however, the components set up for the Car and Car Fuel is for a
relevant tax year. The effective start date of the component is the date the employee takes possession of the
car. The calculated taxable amount is either annual for P11D reporting or periodic, if processed through payroll.
The information entered for this component will also be used for the P46(Car) Reporting process where the
benefit is not set up for processing via payroll.
For more details, see the product paper on P11D & P46(Car) Reporting on MOS.
All information required must be entered on the component Details for Car and Car Fuel Component. When you
add this component, the following three component details are created:
• Basic Car Details
• Car Processing Details
• Fuel Processing Details

Figure 16 Calculation Components for Car and Car Fuel Benefit
As a minimum, you must have the Basic Car Details and Car Processing Details set up for the calculation to
take place. Fuel Processing Details should be setup if there is a fuel benefit is also given to the employee.
BASIC CAR DETAILS
Figure 17 Step 1 Set up Basic Car Information for each car provided in the tax year
BASIC CAR DATA
Optional or
Mandatory

Make M Alpha Make of the Car
Numeric
Model M Alpha Model of car

Numeric
Date First Registered M Date Registration date of the car
Available from Date M Date This is the date from when the
benefit needs to be processed in
the payroll.
Available to Date Date Enter the date to which benefit

needs to be processed I payroll.
After this date the processing of
the benefit will stop and the
appropriate proration will take
place to ensure correct taxable
List Price M Money Price of car
Approved CO2 Emissions Numeric Conditionally mandatory

where Zero Emission Mileage
is entered
Car Fuel or Power Type M LOV Select one from:

• All other cars
• All other diesel car
• Diesel cars
meeting Euro
standard 6d
Engine Size Numeric Mutually exclusive with Rotary

Engine
Rotary Engine Numeric Mutually exclusive with Engine

size
Zero Emission Mileage Numeric Mandatory if Approved CO2

Emissions are below 50 grams

CAR PROCESSING DETAILS
Figure 18 Step 2 – Enter data on Car Processing details for the car
CAR PROCESSING DETAILS
Optional or
Mandatory
P11D Reporting the organization level is Payroll
Processing but the benefit will now be
You must end date the processing
component with the effective date from
when the P11D reporting is required.
The values on this new component
should not include the amounts taxed
through payroll.
Price of All Accessories O Money Enter a value between 0 to 99999999

The total value of accessories added to
the car.
Capital Contribution Made by O Money Enter a value between 0 to 99999999

Employee Total amount of contribution made by
the employee towards the car.
Payment Made for Private Use O Money Enter a value between 0 to 99999999

Amount Foregone O Money Enter a value between 0 to 99999999
Enter the amount the employee has
foregone in respect of this benefit.
See OpRA rules further details.
Cash Equivalent or Relevant O Money Enter a value between 0 to 99999999

Amount for Car Used for P11D reporting if for any
reason you wish to override the taxable
amount calculated by payroll process.
You can use this if part way through the
year the car benefit is no longer
processed through payroll and you
need to report the remainder of the
benefit amount on P11D.
Registered on FPS Character Date when it was first reported on FPS.

Used internally when FPS is submitted
with details of this car.
Fuel Benefit Provided Checkbox If checked the fuel benefit information

on worksheets will not be output.
Also must be checked where Fuel
Processing Details component values
present.
P46(Car) Contributes to Fuel Cost Checkbox Used for reporting on P46(Car)
FUEL PROCESSING DETAILS
Figure 19 Fuel Processing Details should be entered where there is provision of fuel for car.
Optional or
Mandatory

Date Fuel Provision Withdrawn O Date Enter a date within the date range of the current tax year.
Additional Days After Withdrawal O Number Enter a value between 0 to 365 (or 366 if Leap year)
Enter the number of days. Total days in the tax year must be entered if
benefit is reported on P11D reporting.
For processing through payroll, enter the number of days as required.
You can either create several child component details for each instance of
additional days; or increment the number days in the existing component
details with the total so far in the tax year.
Fuel Provision Reinstated O Check This will only be allowed if there is a date of Fuel Provision Withdrawn is
Box present
Amount Foregone for Fuel O Money Enter a value between 0 to 99999999

Enter the amount the employee has foregone in respect of this benefit.
Cash Equivalent Override Amount Enter a value between 0 to 99999999

for Fuel Enter a value to override the cash equivalent calculated by the application.
This amount is used as fuel benefit value to be reported on P11D or if
processed through payroll, added to the taxable pay.
PERIOD OF UNAVAILABILITY CAR
This is an additional component available for Car and Car Fuel. If there are any periods when the car was not
available during the tax year, you can enter the information on this component details.
Any initial period of unavailability is derived automatically. For example, if the component (Benefit) effective
start date is part way through the year, the days of unavailability is taken as effective start date minus the start
of tax year date, 6 April, for the payroll process. Any further periods of unavailability entered on the Periods of
Unavailability component details is added to derive the total number of days unavailable in the tax year so far.
Multiple Periods of unavailability component details can exist in the tax year.
For P11D reporting, you need one Period of Unavailability component detail where any additional number of
days during the year can be entered as a total to be added on to any initial periods of unavailability.
Figure 20 Add instances Period of Unavailability of car using the child component of the parent car component

Figure 21 Enter additional number of days’ car was unavailable
PERIOD OF UNAVAILABILITY (CAR)
Optional or
Mandatory
Additional Number of Days of O Number Enter a value between 0 to 365 (or 366 if
Unavailability Leap year)
Enter the number of days. Total days
unavailable in the tax year must be
entered, if benefit is reported on P11D
reporting.
If processing through payroll, you can
create a new child component for each
new occurrence of days of unavailability
as and when the need arises
Alternatively, one component can be
created and replace the number of days
with the incremented total so far for the
tax year.

Van and Van Fuel Benefit
The van and van fuel benefit component consists of the following two component details structures:
• Van Processing Details
• Fuel Processing Details
Figure 22 Van and Van Fuel Component Details
VAN PROCESSING DETAILS
Figure 23 Van Processing Details

VAN PROCESSING DETAILS
Optional or
Mandatory
Reporting or Processing O Predefined values Complete this field only if the option at organization level
of: is payroll processing, but the benefit will now be reported
P11D Reporting on P11D.
Payroll Processing Once it is set to P11D Reporting, you cannot change it

back to Payroll Processing for the rest of the tax year.
You must end date the ‘processing’ component and the
related child components and start a new component
with the effective date from when the P11D reporting is
required. The values on this new component should not
include the amounts taxed through payroll.
Available from Date M Date This is the date from when the benefit needs to be
processed in the payroll.
Available to Date Date Enter the date to which benefit needs to be processed I
payroll. After this date the processing of the benefit will
stop and the appropriate proration will take place to
ensure correct taxable value is calculated.
Zero Emission O Check Box
Percentage Reduction for O Number Enter a value between 1 & 100.

Sharing Van This is the percentage reduction applied if the van is
shared.
Explanation of Basis of Conditionally Free Text Enter the explanation for the basis for sharing this van.
Sharing Reduction Mandatory You must enter an explanation if you have entered the
Percentage Reduction for Sharing Van.
Payment Made for Private O Money Enter a value between 0 to 99999999.

Use Enter the value as an annual amount regardless of
processing or reporting on P11D.

Enter the amount the employee has foregone in respect
of this benefit.
Cash Equivalent Override O Money Enter a value between 0 to 99999999

Amount for Van Enter a value here if it is cash equivalent calculated by
the application is to be overridden. This amount will be
taken as Fuel Benefit value to be reported on P11D or if
processed through payroll, it will be divided by the
number of periods and added to the taxable pay for the
period.
If entered this value should be an annual value.
Fuel Benefit Provided Checkbox If checked the fuel benefit information on worksheet will
not be output.
Also must be checked where Fuel Processing Details
component values present.

Add the Fuel Processing Details information if you also provide the fuel benefit for the van to your employee.
This component details information is the same as the Car’s Fuel Processing Component details and the same
rules apply to the information entered.
Figure 24 Fuel Processing Details for Van
FUEL PROCESSING DETAILS FOR VAN
Optional or
Mandatory
Date Fuel Provision Withdrawn O Date Must be within the date range of the
current tax year.
Additional Days After Withdrawal O Number Enter a value between 0 to 365 (or 366 if
Leap year)
Enter the number of days. Total days in the
tax year must be entered if benefit is
reported on P11D reporting.
For processing through payroll, enter the
number of days as required.
You can either create several child
component details for each instance of
additional days; or increment the number
days in the existing component details with
the total so far in the tax year.
Fuel Provision Reinstated O Check Box This will only be allowed if there is a date
of Fuel Provision Withdrawn is present

Enter the amount the employee has
foregone in respect of this benefit.

Cash Equivalent Override Amount Enter a value between 0 to 99999999
for Fuel Enter a value here if it is cash equivalent
calculated by the application is to be
overridden. This amount will be taken as
Fuel Benefit value to be reported on P11D
or if processed through payroll, it will be
divided by the number of periods and
added to the taxable pay for the period.
If entered this value should be an annual
value.
PERIOD OF UNAVAILABILITY VAN (CHILD COMPONENT)
Figure 25 Select Period of unavailability for the relevant parent component of van
Figure 26 Period of unavalilbility for van

PERIOD OF UNAVAILIBILITY (VAN)
Optional or
Mandatory
Additional Number of Days of O Number Enter a value between 0 to 365 (or 366 if
Unavailability Leap year)
Enter the number of days. Total days
unavailable in the tax year must be
entered if benefit is reported on P11D
reporting.
If processing through payroll, you can
choose to create a new child component
for each new occurrence of days of
unavailability as and when the need
arises
Alternatively, one component can be
created and replace the number of days
with the incremented total so far for the
tax year.
Qualifying Relocation Expenses and Benefits
Figure 27 Qualifying Relocation Expenses and Benefits Details
QUALIFYING RELOCATION EXPENSES
Optional or
Mandatory
components and start a new component

with the effective date from when the
P11D reporting is required. The values
on this new component should not
include the amounts taxed through
payroll.

be processed I payroll. After this date
the processing of the benefit will stop
and the appropriate proration will take
place to ensure correct taxable value is
calculated.
Gross Amount of Qualifying Expense M Money Enter a value between 0 to 99999999

Payment This is the gross amount of all the
qualifying expenses incurred for the
relocation.
Cash Equivalent or Relevant Amount O Money Enter a value between 0 to 99999999

The cash equivalent or relevant amount
of the relocation expenses borne by the
employer.
Payment made by Employee O Money Enter a value between 0 to 99999999

Any payments made by the employee
towards the cost of relocation.
Cost of Qualifying Living O Money Enter a value between 0 to 99999999

Accommodation The cost of living accommodation
provided.
Amount of Qualifying Expenses in O Money Enter a value between 0 to 99999999

Previous Year The value here must be the total
amount incurred for relocation in the
previous tax year.
If there is an Amount Foregone, enter
this amount.

Assets at Employee Disposal Component
Figure 28 Assets at employees disposal
ASSETS PLACED AT EMPLOYEES DISPOSAL
Optional or
Mandatory
component with the effective date
from when the P11D reporting is
required. The values on this new
component should not include the
amounts taxed through payroll.
Available to Date Date Enter the date to which benefit needs

to be processed I payroll. After this
date the processing of the benefit will
stop and the appropriate proration will
take place to ensure correct taxable

Cost of the Benefit M Money Enter a value between 0 to
9999999.99
assets places at employees’ disposal
for the tax year.
If benefit is processed, enter the value
of the relevant asset.
You can set up multiple instances of
this component for the tax year if there
are multiple assets placed for
disposal.
Alternatively you can set up one
component and enter the total cost of
all the assets.
Is the cost to you an annual amount O Checkbox If your benefit year runs from January
to December, use this flag to ensure
the calculation of the benefit for the
tax year is correct.
Amount made good O Money Enter a value between 0 to

9999999.99
Overriding Description for P11D O Free Format text Only enter a description if the benefit
is for P11D Reporting.
If setting up one component for all the
assets transferred, you must choose
the value of ‘Multiple’.
Tax Processing Rule O Predefined values of: This field is only applicable for the
Taxed in next available benefits processed through payroll.
payroll period The default is Taxed in next available
payroll periods
Other Items

Figure 29 Other Items Component details
OTHER ITEMS
Optional or
Mandatory

be processed I payroll. After this date the
processing of the benefit will stop and the
appropriate proration will take place to
ensure correct taxable value is
calculated.
Description of Other Items Class 1A O Predefined List of Values as Select the appropriate description if the
NICs required by HMRC item that is subject to Class 1A NIC
You must complete this field if the
Subject to class1A NICs check box is
checked.
Description is not a requirement by
HMRC if the benefit is being processed.
However, it is required for the application
as it acts as further information.
For P11D reporting this field is required
by HMRC and therefore must be entered
for item subject to class 1A NICs.
Cost to You or Amount Foregone O Money Enter a value between 0 to 9999999.99

Class 1A NICs Enter the higher of Amount foregone by
employee and Cost to you.
Other Items for the tax year. For multiple
occurrences of Other Items benefit, you
will need to give the appropriate
description of ‘Multiple’.
the relevant asset.
You can set up multiple instances of this
component for the tax year if there are
multiple assets placed for disposal.
Alternatively you can set up one
component and enter the total cost of all
the assets and for the description choose
‘Multiple’ in this case.

Amount Made Good Class 1A NICS Enter a value between 0 to 9999999.99
This is the amount for items subject to
Class 1A NICs.
Description of Other Items Mandatory Predefined List of Values as Select the appropriate description if the
Conditionally required by HMRC item that is not subject to Class 1A NIC.
You must complete this field if the
Subject to class1A NICs check box is not
selected.
The description is not a requirement by
HMRC if the benefit is being processed.
However, it is required for the application
as it acts as further information.
For P11D reporting, this is required by
HMRC and therefore must be entered for
item not subject to class 1A NICs

Enter the higher of Cost to you or
Amount the employee has foregone.
Amount Made Good Enter a value between 0 to 9999999.99

This is the amount for items not subject
to Class 1A NICs.
Tax Paid but Not Deducted Directors O Money Enter a value between 0 to 9999999.99
Pay
Subject to NI O Check Box Select this if the Other Items benefit is

also subject to employee NI.
Subject to Tax O Check Box Select this if the Other Items benefit is
also subject to employee Tax.
Taxed in next available payroll benefits processed through payroll.
period The default is Taxed in next available
payroll periods
In cases of multiple ‘other’ items given as benefits and they are a mixture of ‘subject to’ and not subject’ to
Class1A NICS, you must set up separate component details for items. This is because the description fields for
Class1A and non-Class 1A NICs are mutually exclusive, that is, you cannot have both fields present on the
same component.
Interest Free Loans

This benefit is not processed through payroll as per HMRC ruling. However, you must complete the component
details data, if your employee has been given loans where it qualifies as a taxable benefit as it needs to be
reported on P11D. All values must be entered as annual amounts as the data will be used in calculations as
well as printing on the P11D and Loans Worksheet 4.

Figure 30 Interest Free and Low Interest Loans
INTEREST FREE AND LOW INTEREST LOANS
Optional or
Mandatory
Reporting or Processing O Predefined values of: Complete this field only if the option
P11D Reporting at the organization level is set to
payroll processing, but the benefit will
Payroll Processing now be reported on P11D.
processing for the rest of the tax
year.
Number of Joint Borrowers O Number Enter a value between 1 and 99
Amount of Outstanding at Loan M Money Enter a value between 0 to

Start or Tax Year 9999999.99
Enter the balance outstanding at the
start of the tax year in question (on
5th April 20nn) or at the date when
loan was taken if later.

Amount of Outstanding at Loan M Money Enter a value between 0 to
End or Tax Year 9999999.99
Enter the balance outstanding at the
end of the tax year in question (on 5th
April 20nn+1) or at the date when
loan discharged if earlier.
Maximum Amount Outstanding in M Money This field IS calculated as higher of

the Tax Year the above 2 fields.
You can enter a value between 1 and
9999999.99 here and it is used to
override to the calculated value
Total Amount of Interest Paid M Money This will be calculated using the
official rate of interest set for the tax
year in question.
You can enter a value between 1 and
9999999.99 here and it will be taken
as the override to the calculated
value.
Currency of Loan O Predefined values of Only complete this field if the

currencies currency of the loan provided is not
Pound Sterling.
Number of Complete Tax Month M Number Enter a number between 1 and 12

This is the number of complete
months in the tax year (6th of the
month to 5th of the following month)
throughout which the loan was owing.
Interest Paid on Loan O Money This field is calculated but you can
enter an override value between 1
and 9999999.99 and this value will
be taken instead.
Cash Equivalent or Relevant O Money Enter a value between 0 to 99999999

Amount The cash equivalent or relevant
amount of the relocation expenses
borne by the employer.
See OpRA rules further details
For multiple loans in the tax year, complete the component details for each loan. This information is printed on
the worksheet on the individual columns provided for up to five loans.
Payments Made on Behalf of Employee

You can set up any expenses payments you have made on behalf of an employee as per the expense
and benefits rules for this type of benefit, using this component. Here you specify the type of expense
and its details.

PAYMENTS MADE ON BEHALF OF EMPLOYEE
Optional or
Mandatory
Expense Payment type M Predefined values of: Select a value from the list.
Entertainment
Non Qualifying relocation
expenses
Other expenses
Payment for use of home
telephone
Travel and subsistence
payments

Enter the higher of Cost to you or
Amount the employee has foregone.
Amount made good O Money Enter a value between 0 to 9999999.99
Description of Other Expenses O Free Format text Enter a description here if the expense
type selected is ‘Other expenses’
Entertainment expenses disallowed O Check Box Only tic this if your organization is not
allowed to claim expenses for
entertainment (as per the rules for
benefits in kind).
Taxed in next available benefits processed through payroll.
payroll period The default value is Taxed in next
Taxed across remaining available payroll period.
payroll periods

PROCESSING BENEFITS-IN-KIND FOR TAX AND NI
The payroll calculation run performs additional processing for all employees with benefits using the relevant
formulae. The final Pay Value result for each benefit element feeds the Taxable Pay balance as well as NIable
earnings balances as necessary. The PAYE and NI calculations process these balances during the same
payroll run to derive the tax and NI deductions for all employees.
Hence, all employees with benefits subject to tax and NI deductions will pay the required PAYE and NI (if
applicable) on these benefits. Benefits that attract employer Class1A NIC means the employer needs to pay
over the additional NI contributions at the end of the year. This applies to all employers regardless of whether
you report benefits through P11D or process through payroll.
Benefits and Calendar Year

If your benefits relate to a calendar year and you want to ensure that the correct value is being taken as taxable
benefit when you have entered an annual amount for the cost to you, you must use the flag “Is the cost to you
an annual amount?”. This will ensure that the components are analysed and the tax year amount is used to
calculate the taxable amount for the relevant tax year.
Changing Payrolling of Benefits to P11D

You set the option at TRU level for each benefit (component) to either be processed by payroll or through P11D
reporting. (See section Organization Defaults)
When you change the option to P11D Reporting for any benefit part way through the year:
» The remainder annual value that has not been processed via the payroll will be reported
» Payroll process will no longer maintain the balance
» Check the TYTD balance of the benefit cash value and deduct it from any annual cash equivalent value of
the benefit where required for P11D reporting
OpRA Rules
The following OpRA rules apply as per the legislation for benefits:
CAR BENEFIT
Where an Amount Foregone is present and the Co2 emissions above 75g, a Modified Cash Equivalent is
calculated as follows:
Price of Car + Accessories x Appropriate % derived MINUS any reduction for days unavailable.
(No consideration is given to any capital contributions or payments made for private use in this case)
CAR FUEL BENEFIT
If there is a value in the new ‘Amount Foregone’ and the Co2 emissions are above 75g, this field is compared
with the calculated value and the higher value of the two will be used as the taxable benefit for Car Fuel.
The higher of the following two values is considered:
» Fixed amount x appropriate % MINUS reduction for Days unavailable (and)

» Amount foregone.
For example, if the amount foregone for the year is £4800 (400 per month x 12) and the calculated benefit is
£4520 (Fuel Benefit charge of 22600 x 12%), then take £4800 as the car fuel benefit amount as this is higher.
VAN BENEFIT
Where an Amount Foregone exists, a Modified Cash Equivalent is used to compare with the amount foregone.
The modified cash equivalent is calculated as:
» Full Van Benefit Charge MINUS and amount calculated for unavailability MINUS any amount calculated as
Reduction for Sharing.
Note: The reduction given for payments made for private use of van is not subtracted at this point.
The amount foregone is compared with the above calculated Modified Cash Equivalent. The higher of the two
values is used. Any private use contributions made by the employee is deducted.
VAN FUEL BENEFIT
If there is a value entered as ‘Amount Foregone for Fuel’, this will be compared to the Fuel benefit charge for
the year calculated as normal (£610 for tax year 2017-18, minus any amounts for unavailability) and the higher
of the two values will be treated as the taxable benefit amount for van fuel benefit.
For example: if Amount Foregone for Van Fuel for the year is £600 (£50 per month x 12) and the calculated
benefit (with 10 days of unavailability reduction calculated as £16) = £594 (610 – 16), then take £600 as the car
fuel benefit amount as this is the higher amount
INTEREST FREE AND LOW INTEREST LOANS
If you operate OpRA and the employee has foregone an amount and this amount is greater than the interest
payable on the loan at the official rate of interest, you must enter the relevant amount as Amount Foregone
minus the interest amount. If the amount foregone is less that the interest payable, enter the interest amount.
This benefit is not processed through payroll and therefore the information entered is used for P11D report.
EMPLOYER PROVIDED LIVING ACCOMMODATION
This benefit is not processed by payroll. For OpRA, enter the amount foregone and the P11D process
will use this information to calculate the taxable cash equivalent.
Elements and Input Values
Element Name Input Value Name
Assets Placed At Employee Disposal Result Cash Equivalent
Asset Description

Remaining Tax Period
Reference
Payroll Term ID
Payroll Assignment ID
Assets Transferred Result Cash Equivalent
Asset Description
Reference
Payroll Term ID
Car and Car Fuel Calculator Total Price or Interim Sum Used
Rounded CO2 Emission
Appropriate Percentage Used
Car Benefit Full Year
Total Days Unavailable
Deduction for Unavailability
Benefit for Period Car was Available
Car Fuel Benefit Full Year
Total Days for No Fuel Charge
Reduction for Car Fuel Unavailability
Modified Cash Equivalent of Car Used

Amount Applicable for deduction
Provisional Sum for Car
Car and Car Fuel Result Car Benefit Cash Equivalent
Car Fuel Benefit Cash Equivalent
Remaining taxable period
Reference
Payroll Term ID
Car Benefit Annual Amount
Car Fuel Benefit Charge Annual Amount
Expenses Payments Result Cash Equivalent
Expense Type
Other Description
Reference
Entertainment Expense Payments
Payment For Use of Home Phone Expense Payments
Non-qualifying Relocation Expenses Payment
Travel and Subsistence Expenses Payments
Other Expenses Payments
Payroll Term ID

Mileage Allowance Payments Calculator Total Mileage Payments
Amount Taxed
Net Mileage Paid
Vehicle Used
Total Business Mile Travelled
First Tax-Free Rate
Second Tax-Free Rate
Miles at First Tax-Free Rate
Miles at Second Tax-Free Rate
Amount at First Tax-Free Rate
Amount at Second Tax-Free Rate
Total Tax-Free Amount
Business Miles Tax-Free Amount
Mileage Allowance Payments Result Taxable Business Mileage Amount
Taxable Mileage Amount
Taxable Amount
Reference
Payroll Term ID
Other Items Result Cash Equivalent

Description Of Other Items Class 1A NICs
Description Of Other Items Non-class 1A NICs
Taxable Benefit Subjected to Tax
Taxable Benefit Subjected to NI
Value for Class 1A NICs
Value for Non-class 1A NICs
Reference
Payroll Term ID
Payments Made On Behalf Of Employee Result Cash Equivalent
Payment Description
Reference
Payroll Term ID
Cash Equivalent
Reference
Payroll Term ID

Qualifying Relocation Expenses Calculator Exempt Amount
Qualifying Relocation Expenses Result Cash Equivalent
Remaining taxable period
Reference
Payroll Term ID
Service Supplied Result Cash Equivalent
Reference
Payroll Term ID
Van And Van Fuel Calculator Standard Charge Applicable
Total Days Unavailable
Reduction for Unavailability
Benefit after Reduction for Unavailability
Reduction Amount for Sharing
Reduction after Sharing
Fuel Benefit Charge for Tax Year
Total Days for No Fuel Charge
Fuel Benefit Reduction for Unavailability
Fuel Benefit Charge after Reduction for Unavailability

Fuel Benefit Reduction Amount for Sharing
Van And Van Fuel Result Van Benefit Charge Cash Equivalent
Fuel Benefit Charge Cash Equivalent
Reference
Payroll Term ID
Vouchers and Credit Cards Result Cash Equivalent
Reference
Payroll Term ID
For more information on the various P11D Benefits-in-Kind mappings, refer to the addendum P11D_Benefits-
in-Kind Mapping.xls on My Oracle Support (Doc ID 2393233.1).

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Product Paper:Oracle Fusion HCM (UK): Processing Benefits-in-Kind and P11D Reporting
January 2023
Author: Smita Bakrania

Rel 13-23A Taxable Benefits in Kind

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3 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

Overview of Processing Benefits through Payroll and P11D ....................... 8

Benefit Types .............................................................................................. 8

Data Capture ............................................................................................... 9

Legislative Data ......................................................................................... 12

Benefits Processed Balances .................................................................................................... 15

Balance Feeds .......................................................................................... 17

Benefit Type ............................................................................................................................... 17

Benefits Taxed through Payroll .................................................................................................. 17

Taxable Pay ............................................................................................................................... 17

NIable Pay ................................................................................................................................. 17

NIable Earnings for Class 1A NICs ............................................................................................ 17

Recording Employee Benefits ................................................................... 18

Calculation Component Details .................................................................................................. 19

Basic Benefit Information - Common Attributes ......................................................................... 24

4 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

Payments Made on Behalf of Employee .................................................................................... 28

Employer Provided Living Accommodation ................................................................................ 30

Mileage Allowance ..................................................................................................................... 35

Car and Car Fuel Benefit Component ........................................................................................ 38

Van and Van Fuel Benefit .......................................................................................................... 45

Qualifying Relocation Expenses and Benefits............................................................................ 49

Assets at Employee Disposal Component ................................................................................. 51

Other Items ................................................................................................................................ 52

Interest Free Loans .................................................................................................................... 54

Payments Made on Behalf of Employee .................................................................................... 56

Processing Benefits-in-Kind for Tax and NI............................................... 59

Benefits and Calendar Year ....................................................................................................... 59

Changing Payrolling of Benefits to P11D ................................................................................... 59

OpRA Rules ............................................................................................................................... 59

Elements and Input Values ........................................................................................................ 60

5 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

6 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

This paper identifies and describes the processing of benefits through

The benefits provided to employees as part of their employment contract are

HMRC introduced a legislation in 2016 to provide a statutory basis for the

You can have a combination of different types of benefit, either of P11D

Whether you process benefits through payroll or by P11D reporting,

If processing benefits in payroll, you must give prior notification to HMRC of

7 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

These benefits are grouped as Benefit Type as given by HMRC:

• Payments made on behalf of employee

• Mileage allowance payments

• Vouchers and credit cards

• Employer provided living accommodation

• Interest free and low interest loans

• Cars and car fuel benefit

• Vans and van fuel benefit

• Private medical insurance

• Qualifying Relocation and expenses

• Assets placed at employee disposal

• Expenses payments made on behalf of employee

8 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

• Qualifying Relocation and expenses

• Interest free and low interest loans

9 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

10 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

11 PRODUCT PAPER / Oracle Fusion HCM (UK): Taxable Benefits in Kind

Rates Supplied Description

Official Mileage Allowance Rates Exemption Rate - Cars and Vans

CO2 Emission threshold CO2 Emission threshold