HMRC have recently adjusted their view of employer reimbursed costs e.g. eye tests and glasses/contact lenses. HMRC now state that where employees are reimbursed the cost of eye tests/glasses/lenses, the exemption for eye tests, etc will not be met and should be reported through the payroll for PAYE/NIC deductions as a cash payment.
Only where eye tests/glasses/lenses are paid directly by the employer will the exemption be met. HMRC have confirmed that if an employer uses a non-cash voucher scheme (e.g. Edenred ) for the provision of eye test vouchers, the exemption will be met.
Our current policy has been updated to reflect these changes. And we have set up an arrangement with Edenred to provide staff with eye test and spectacle/contact lenses vouchers.
What’s different going forward?
Instead of claiming the cost of their eyetest after a visit to the optician, employees will need to request an eye test examination voucher via HR (me) before they go to their appointment
- Edenred send vouchers to home addresses (takes 2-3 days) – the voucher covers the cost of the eye test, whatever the cost
- The voucher has a form attached, which the optician completes to say whether or not the employee needs glasses/contact lenses for regular DSE work
- If they are eligible for glasses/contact lenses, we contact Edenred to send out a spectacle voucher
Eye Test and Glasses for DSE Users Policy
2023 Eye Test Policy final
Form for requesting a voucher
Requesting a Voucher for an Eye Examination or Glasses