Maternity Leave And Bik Treatment

J

JOHN GRIFFIN

Guest
My wife is going on maternity leave shortly and drives a company vehicle,My question is.Is she entitled to her company vehicle while on maternity leave and how is it treated re:BIK
 
JOHN GRIFFIN said:
My wife is going on maternity leave shortly and drives a company vehicle,My question is.Is she entitled to her company vehicle while on maternity leave and how is it treated re:BIK

Depends on company policy, although I doubt she will keep it. I've seen 5 or 6 cases. Only one kept car from what I recall.

If she keeps it, she will be subject to BIK.
 
In addition to the above, if she takes unpaid maternity leave she could end up in a negative pay scenario. (Although this would probably be resolved by the accounts department.)
 
Does anyone know how payroll recover BIK in a situation of unpaid maternity leave or where the company is not paying the employee?
 
I can stand corrected on this when it comes to BIK but I do know for other deductions like pension etc. where I have heard of some Companies paying a days holiday when their Employee is out on unpaid (by the Company) Maternity Leave (with the agreement of the Employee), this would generate a payment due to the Employee, will also utilise their Monthly Tax Credits which would normally put them in a credit position as their would be a tax rebate generated, then it should only be a matter of them adjusting the payment to deduct BIK Liabilities. People should also be weary if they offer her an alternative vehicle that BIK is calculated on the Original Purchase Price of the car not it's value as at todays date.