HMRC’s October Employer Bulletin, released on 21 October, devotes a full section to how the UK’s forthcoming mandatory pay-rolling of benefits-in-kind will apply to internationally mobile staff. From April 2027, company cars, fuel and private medical insurance must be reported and taxed in real time via payroll. However, employers will be allowed to “voluntarily except” globally mobile employees where tracking split-pay and multicurrency allowances through UK payroll systems is impractical. To obtain the exemption, employers must file a new online G-Form—launching in November 2026—identifying staff whose work patterns genuinely complicate real-time reporting. Excepted employees will continue to be reported on annual P11D forms until at least 2029, giving multinationals breathing space to overhaul shadow-payroll processes. The bulletin also clarifies that where an employer chooses to payroll a benefit, any associated Class 1A National Insurance contributions must also move to real-time collection; it will no longer be possible to pay the tax monthly but the NIC annually. Payroll software vendors have been warned that support for Intel-based apps on Apple Silicon will end in 2027, prompting system upgrades. Global-mobility teams should begin mapping which assignees qualify for the exception and budget for software changes. Failing to secure an exemption could result in late-filing penalties of up to £3,000 per return and interest on underpaid NICs. The ability to exclude the most complex cases will be welcomed by sectors such as oil and gas, where employees rotate across multiple jurisdictions within a single tax year.
Source: GOV.UK – HMRC Employer Bulletin
