Where a company asset is given to an employee, or sold at a discount, this must be taxed as a benefit in kind. This can be taxed via the payroll, if you're registered to payroll benefits.
Note: Your registration with HMRC to payroll benefits must specify Assets transferred so that they can be payrolled. If you haven't specified Assets transferred, you'll need to amend your registration and may need to wait for the following year to payroll Assets transferred.
Alternatively, the benefit can be taxed via the P11D at the end of the tax year. The employee will receive an adjusted tax code in the following tax year.
Where an employee has paid for technology equipment using a salary sacrifice scheme, as this is no longer a valid salary sacrifice scheme, the cost of the technology equipment must be recorded as an asset transferred so the tax can be paid on the benefit.
Enable the Assets transferred feature
If this is the first asset transfer you've added for an employee, you'll first need to enable the feature. To do this;
From the left, choose Company settings, then Benefit settings.
Under the General settings section, click Set benefits preferences.
Answer each of the questions, then click Save.
From the left, choose Company settings, then Benefit settings.
Under the General settings section, click Activate benefits schemes.
Enable Assets transferred, then click Save.
Add an Asset transferred to an employee
To add an asset transferred to an employee;
From the left, choose Benefits in kind, then Assets transferred.
In the Assets transferred section, from the drop-down, choose Assets transferred.
Next to the relevant employee, click See all, then Add a new asset transferred.
Select the Type of asset, and the Circumstance.
The remaining fields change based on the information necessary for the circumstance you've chosen.If you payroll benefits, specifically Assets transferred, the tax can be calculated through the employee's pay this month. To do this, toggle on the Asset is payrolled option.
Click Save.