Yes. The BIK amount is treated as notional pay and taxed as normal salary. It’s subject to PAYE, PRSI and USC. Your employer will deduct the tax on BIK through payroll.
Is BIK subject to PAYE, PRSI and the USC?
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About the Author: Cathal Maxwell
Cathal brings over 40 years of tax experience, advising individuals and businesses on Income Tax, Capital Taxes, Inheritance Tax, Stamp Duty, and VAT.
