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P11D Submission Deadline 6th July 2021

Payment Deadline: 22nd July Online

Are you an employer providing taxable benefits to employees?

The P11D deadline is looming – 6 July – which reports all taxable benefits provided to employees in the last tax year to HMRC.

 

What is a P11D form?

The P11D is used to report benefits provided to employees and expense payments by employers that are not included in the payroll process.

If you provide benefits or non-exempt expenses, you must complete and submit annual P11D forms to HMRC by 6 July every year.

The form allows businesses to report benefits that employees have received from their employer in addition to their salary, for example, company cars, health insurance, living accommodation and beneficial loans.

 

Do I have to use the P11D form to report taxable benefits?

If you have taxable benefits and they are not included in payroll reporting, you must complete a P11D form for each affected employee at the end of the tax year.

 

What benefits are tax-free?

There are several tax-free benefits that can be given to employees, which must be considered, including:

  • The provision of a mobile phone,
  • A social function for staff – if the total cost does not exceed £150 (including VAT and extra costs such as accommodation and transport) per head, per year.
  • Trivial benefits – if it costs £50 or less to provide, it is not cash or a cash voucher, and it is not a reward for the employees’ performance or a term in their contract.

If the benefits provided by your business meets the above criteria, you do not need to update HMRC via payroll or P11D and pay tax or NI on this benefit.

 

Do I have to pay anything?

Your P11D(b) form supports the P11Ds and tells HMRC how much Class 1A National Insurance you need to pay on all the expenses and benefits you’ve provided in the year.

If you believe you have provided expenses or benefits in the year 05/04/20 to 06/04/21 and need any more advice, don’t hesitate to get in touch and we’ll be happy to help.

 

MATCH is working hard to keep on top of all the latest news and government support so, as always, feel free to get in touch if you have any queries and we’ll be happy to help.

 

MATCH Accounting Limited