To calculate tax due on a taxable benefit, set up a benefit in kind and process the cash equivalent of the benefit on it.

If you didn't start deducting the BIK when a taxable benefit became available to the employee, you need to correct it.

Contact HMRC

Contact HMRC to explain the situation for any affected employees, and take their advice on how to resolve it.

Check what amount to process each period if HMRC advise you to increase the remaining BIK payments for this tax year.

If HMRC advise you to reprocess prior periods to add the BIK value retrospectively, follow the rollback option article.