Your company provides you with a company car, a mobile phone, an internet subscription...
A benefit in kind (or BIK) occurs when a person connected to a company (self-employed director or employee) receives a personal benefit. This can be, for example, a company car, a mobile phone or an internet subscription made available free of charge by the company. This benefit is then considered as professional income for the self-employed director or employee. It is notional, but will effectively increase the personal income tax to be paid, as well as social contributions.
How is the BIK calculated?
For the most common types of BIK, the law has set flat-rate amounts (see NSSO website).
For company cars, a specific formula is used to calculate it (see Lizy tool).
When nothing has been specified, you assess the actual value of the benefit received (example: motorbike or utility vehicle).
💡 If you receive personal benefits, keep in mind that these will increase your personal tax base (subject to social contributions and personal income tax).