CSLM19020 - SA repayments: borrower within SA: Payrolled Benefits in Kind
Student and postgraduate loan deductions are not due on payrolled benefits in kind (BiKs) that are not subject to Class 1 National Insurance contributions.
For tax years 2023/24 and prior, our Self Assessment system were not able to tell the difference between these payrolled benefits in kind and the rest of the PAYE income. As a result, these were included in the student loan and postgraduate repayments calculations.
For 2024/2025 onwards, a new box has been added to the Self Assessment (SA) tax return for reporting payrolled Benefits in Kind (BiKs) that are subject to Class 1A National insurance contributions (NICs) only.
This only impacts those who are:
· in Self Assessment
· in repayment of a student or postgraduate loan or both
· receiving payrolled benefits in kind that are subject to Class 1A National Insurance Contributions (NICs) through their employer.
If your payrolled benefits in kind are not subject to Class 1 National Insurance contributions, you should enter the amount in the following box to make sure your loan deductions are correctly calculated.
· online tax return – box titled “Payrolled benefits included in pay from employer which affect your student loan repayments”.
· SA102 paper tax return – box titled “Payrolled benefits included in box 1 which affect your student loan repayments”.
For more information on completing previous years returns including payrolled benefits in kind see gov.uk