What is the Expenses and Benefits P11D Form

With deadlines looming for P11D forms our payroll processors walk you through everything you need to know about the P11D. The P11D form is a vital document used by employers in the United Kingdom to report certain benefits, expenses, and taxable perks provided to their employees and directors throughout the tax year. It serves as a declaration to HM Revenue and Customs (HMRC) detailing the cash equivalents of non-cash benefits and expenses, which are subject to taxation.

The primary purpose of the P11D form is to ensure that the value of benefits and expenses received by employees is accurately reported to HMRC for taxation purposes. By disclosing these benefits, HMRC can calculate the appropriate amount of income tax and National Insurance contributions owed by employees based on their total remuneration package.

When do I report the P11D to HMRC?

The deadline for submitting P11D forms to HMRC is July 6th following the end of the tax year, which runs from April 6th to April 5th. Additionally, employers must provide a copy of the P11D to each relevant employee by the same deadline.

How to complete forms P11D forms

There are different rules for what employers have to report and pay depending on the type of expense or benefit they provide. Types of benefit might include:

• company cars
• health insurance
• travel and entertainment expenses

For a comprehensive list of expenses and benefits – as well as details of what is exempt and what to report and pay – visit the A to Z of Expenses and Benefits.

If the organisation has provided relevant expenses or benefits to employees or directors and if these have not been processed through the payroll for the tax year the company will need to do the following:

• Submit P11D forms online to HMRC by the 6^th July following the end of the tax year
• Give employees a copy of the form’s information by the 6^th July
• Tell HMRC the total amount of Class 1A National Insurance owed via the P11D(b) form by the 6^th July
• Pay any Class 1A National Insurance owed on expenses or benefits. This must reach HMRC by 22 July (19 July if you pay by cheque)
• If they have a PAYE Settlement Agreement pay tax and Class 1B National Insurance this must reach HMRC by 22 October (19 October if you pay by cheque)
• Pay any PAYE tax or Class 1 National Insurance owed on expenses or benefits. This is paid monthly through payroll

Where a company’s payroll is outsourced the payroll service may manage P11D submissions on the company’s behalf as part of a managed P11D service. Should you wish to avail of such a service, you can reach out to our payroll bureau by requesting a callback or by calling +353 (0) 1 905 9400.

Organisations who wish to relieve the annual burden of P11Ds, should consider payrolling Benefit In Kind. This service is also offered by Paycheck Plus and it enables the deduction and payment of tax on most employee expenses through payroll. As before, if you wish to avail of this service, you can contact our payroll bureau by requesting a callback or by calling +353 (0) 1 905 9400. Please note employers need to have registered with HMRC before the start of the tax year in order to avail of this service.

For more on Employer Obligations read:

Payroll Tax Fact Card

Benefit in Kind

Deductions When Calculating Employee Net Pay

Are you aware of your Employer Pension Obligation?

Gender Pay Gap Ireland

Public Holidays

Finding the Ideal Christmas Bonus

Paycheck Plus, Your Outsourced Payroll Provider

Paycheck Plus is an award-winning payroll company that specialises in UK and Irish payroll outsourcing. With industry-leading accuracy levels our affordable payroll service provides outsourced payroll services to organisations of all sizes.

Our ISO accredited payroll firm offers a range of payroll services which ensure payroll accuracy, while our bespoke payroll software lets you consolidate your payroll processes into one simple and efficient workflow.

For more information simply request a payroll quote or call +353 (0) 1 905 9400.