The P11D forms, which report details of benefits and some expenses provided to employees and directors, for the year end 5 April 2019 are due for submission in 85 days on July 6th. Gathering the required information can take some time so make sure you prepare early in order to get it submitted on time.

Employees have to pay tax on the benefits they receive as shown on the P11D, this happens via a change in PAYE code or through the self assessment system. Sometimes employers ‘payroll’ benefits and if this is the case the benefits do not need to be reported on the P11D however employers should advise employees of the amount of benefits payrolled.

Additionally, regardless of whether the benefits are being payrolled or reported by the P11D the employer has to pay Class 1A National Insurance Contributions at 13.8% on the provision of most benefits. The calculation of this liability is explained in the P11D(b) form. This payment, for Class 1A NIC, is due 19th July 2019, or 22nd for cleared electronic payment.

HMRC have created a toolkit which consists of a checklist which can be used by advisers or employers to check they are completing the forms correctly. This toolkit can be found on the website.

Quote from Nigel Holland:

“Make sure you gather the required information as early as possible in order to submit your P11D on time. If you submit the form late, you could receive some large fines.”