Lisa Lokasto

Revenue has today updated its Tax and Duty Manual (Part 05-01-01o – Tax treatment of the provision of staff meals). From 1 October 2025, two new situations will be recognised where meals provided to employees will not give rise to a taxable BIK (benefit in kind) provided certain conditions are met.

This is good news for employers, especially those who don’t have space for a traditional staff canteen or where there’s a working lunch (hello, tax deadlines?).

1. Meals Provided to All Staff on the Employer’s Premises

If you provide meals that are:

• available to all employees, and
• consumed on your business premises,

then no BIK arises.

So, for example a retail store offering free breakfast and tea/coffee to all staff each morning, no longer a BIK.

2. Working Lunches or Dinners Linked to Business Needs

Revenue also accepts that meals provided to specific groups of employees will not be taxable if:

• there is a clear business reason (e.g., staff must remain on site for a meeting, or employees are working overtime),
• the meals are consumed on the employer’s premises, and
• the cost per employee does not exceed the Civil Service subsistence day rate (currently €19.25).

So, for example staff working late and a pizza is ordered in, no longer a BIK.

What Employers Should Do

Review current arrangements for providing food or refreshments to staff.

• Ensure that, if meals are offered, they are either available to all staff and eaten on-site, or linked to genuine business needs and within the cost limit.
• Reassess the use of meal vouchers ahead of the October 2025 change.
• As always, record keeping is key.

Need help reviewing your staff meal or benefits policies? Don’t hesitate to get in touch.

-Lisa