Do you provide benefits to your staff or Directors?
If so, then you need to make sure you complete your P11D Forms.
What is a P11D?
The P11D form is used to report benefits in kind. These are items or services which are considered to be of personal benefit to an employee or Director in addition to salary and must be declared to HMRC on your annual Self Assessment return.
Once the P11D form has been submitted, the value of the benefits are assessed, then the Employer must pay class 1A National Insurance (13.8% for 2023/24) on their value. In addition, the employee’s tax code will be adjusted and additional income tax will be deducted from the employee’s salary.
When is a P11D required?
The majority of employees do not need a P11D. If however an individual received benefits personally during a given tax year, the employer will need to file a P11D.
What time of year do I need to file a P11D?
The forms need to be submitted online to HMRC by 6th July following the tax year-end. They are no longer accepting paper submissions. The payment of class 1A National Insurance must reach HMRC before 22nd July if paying electronically or the 19th July by any other method.
What needs to be included in a P11D?
Examples of some expenses and benefits that need to be included on a P11D form are as follows:
P11D late filing penalties
If you miss the deadline of 6th July and you contact HMRC to let them know, you will be given two weeks to file your form before you incur a penalty. Once this time is up, if you have still not filed your P11D, then your company will incur fines of £100 per month per 50 employees.
If HMRC have still not received your P11D form by November then they will send you a reminder, along with details of all the penalties you’ve accrued up until then.
If your P11D is filed incorrectly, you could also incur a penalty. However if the mistake was genuine and HMRC believes you took reasonable care before filing, you might not face any fines.
How Blue Spire can help with your P11D forms?
We can complete and file these forms on your behalf or provide advice should you have any queries regarding the reporting requirements.
| Please contact us as soon as possible to discuss your requirements. |
