top of page
  • Writer's picturePTA

What Is P11D Form?

Updated: Dec 8, 2023

Index

What Is P11D Form?

  • Definition and Importance

  • Usage and Submission Requirements

  • Importance for Employers and Employees

What to Include in P11D?

  • Types of Expenses and Benefits

How to Fill and Submit P11D Form in The UK

  • Steps for Reporting Benefits and Expenses

  • Sections of the Form

How to Fill P11D Form for Expenses and Benefits 2022 to 2023

  • General Instructions

  • Section Breakdown and Suggestions

  • Final Steps and Notes to Employees

How to Fill P11D Working Sheet 1 - Living Accommodation 2022 to 2023

  • General Instructions

  • Section Breakdown and Suggestions

  • Optional Remuneration Arrangements

  • Final Steps

Who Should Have the P11D?

  • Responsibility for Filing the Form

When Should I Submit the P11D?

  • Submission Deadline

How to Fill P11D Working Sheet 2 - Car and Car Fuel Benefit 2022 to 2023

  • General Instructions

  • Section Breakdown and Suggestions

  • Calculating Car Benefit Charge

  • Final Steps

How to Fill P11D Working Sheet 2b - Car and Car Fuel Benefit Provided Under Optional Remuneration Arrangements 2022 to 2023

  • General Instructions

  • Section Breakdown and Suggestions

  • Calculating Appropriate Percentage

  • Final Steps

How to Fill P11D Working Sheet 3 - Vans Available for Private Use 2022 to 2023

  • General Instructions

  • Section Breakdown and Suggestions

  • Van Benefit Charge and Reductions for Unavailability



If you are an employee in the United Kingdom, you may have heard about the P11D form. The P11D form is a crucial document used to report benefits and expenses provided to employees by their employers (and to the company directors). In this article, we will explore what the P11D form is, why it is important, and how it is used.


What Is P11D Form


What is the P11D form?


The P11D form is a tax form used by employers to report the value of benefits and expenses provided to their employees during a tax year. These benefits and expenses are not included in the employee's salary and are therefore subject to tax and National Insurance contributions.


Examples of benefits and expenses that need to be reported on the P11D form include company cars, health insurance, gym memberships, travel expenses, and professional subscriptions. The form must be submitted to HM Revenue and Customs (HMRC) by 6 July each year, following the end of the tax year.


The P11D is a tax form that captures the working conditions perceived by the employees and officers of a company during the year. The information allows HMRC to decide whether these benefits are taxable. Each P11D form contains your base ID and a series of sections that cover a variety of benefits and expenses, from accommodations to coupons, credit cards, and miles.


There is also the P11D (b) module. This form shows the total amount of taxable benefits an employer provides to its employees and shows the amount of Social Security Class 1A payable on the expenses and benefits provided.

Why is the P11D Form Important?

The P11D form is important for both employers and employees. Employers are legally required to complete and submit the form to HMRC accurately and on time. Failure to do so can result in penalties and interest charges.


For employees, the P11D form is important because it determines how much tax and National Insurance contributions they need to pay on their benefits and expenses. If the employer has provided benefits and expenses that are subject to tax and National Insurance contributions, the employee will need to declare this on their self-assessment tax return and pay any additional tax owed.


How is the P11D Form Used?

Once the P11D form has been submitted to HMRC, they will use the information provided to calculate the amount of tax and National Insurance contributions owed by the employee on their benefits and expenses. The employee will then need to declare this on their self-assessment tax return and pay any additional tax owed.


It is important for employers to keep accurate records of the benefits and expenses provided to their employees throughout the tax year. This will make it easier to complete the P11D form and ensure that all the necessary information is included.


In conclusion, the P11D form is an essential tax document that employers in the UK must complete and submit to HMRC each year. It is used to report the value of benefits and expenses provided to employees and determine how much tax and National Insurance contributions are owed. If you are an employer or employee in the UK, it is essential to understand the P11D form and its importance in ensuring compliance with tax regulations.


What to Include in P11D?

Determining what types of expenses and benefits should be included in the form can be confusing.


Here's a quick rundown of what to consider:


● Company Vehicle

● Health Insurance

● Non-Professional Travel Expenses

● Non-Professional Entertainment Expenses

● The property provided or transferred to employees or directors with significant personal use


How to Fill and Submit P11D Form in The UK?


If you are an employer in the UK, it is important to understand how to fill and submit the P11D form accurately and on time. In this article, we will walk you through the process step-by-step to help you avoid any potential errors or penalties.


Step 1: Determine Which Benefits and Expenses to Report

The first step in filling out the P11D form is to determine which benefits and expenses provided to your employees need to be reported. Some common examples include company cars, private medical insurance, travel expenses, and professional subscriptions. You should keep accurate records of these benefits and expenses throughout the tax year to make filling out the P11D form easier.


Step 2: Calculate the Value of Benefits and Expenses

The next step is to calculate the value of the benefits and expenses you provided to your employees. This can be done by using the market value of the benefit or expense or by calculating the actual cost to your business. It is important to note that the value of the benefit or expense is subject to tax and National Insurance contributions.


Step 3: Complete the P11D Form

The P11D form is a two-page document that consists of several sections. The sections you need to complete will depend on the benefits and expenses you provided to your employees. Here is a breakdown of each section:


Section A: Employer's Details

This section requires you to provide your company name, address, and employer reference number.


Section B: Employee's Details

This section requires you to provide your employee's name, address, and national insurance number.


Section C: Description of Benefit

This section requires you to provide a description of the benefit or expense provided to your employee. For example, if you provided a company car, you would include the make, model, and registration number.


Section D: Cash Equivalent of Benefit

This section requires you to provide the value of the benefit or expense. You can use the market value or actual cost method to calculate the value.


Section E: Amount Made Good

If your employee made any contributions towards the benefit or expense, you can include this in Section E. The amount made good will be deducted from the cash equivalent of the benefit.


Section F: Class 1A NICs Due

This section is used to calculate the National Insurance contributions owed by your business on the benefits and expenses provided to your employees.


Step 4: Submit the P11D form

The P11D form must be submitted to HM Revenue and Customs (HMRC) by 6 July following the end of the tax year. You can submit the form online or by mail.


Submitting the P11D Form Online

To submit the P11D form online, you will need to register for the HMRC online service. Once you have registered, you can log in and submit the form electronically. You will receive an acknowledgment from HMRC once your submission has been received.


Submitting The P11D Form by Mail

To submit the P11D form by mail, you will need to print out the completed form and send it to HMRC. The address to send the form to will be provided on the form. It is important to ensure that the form is posted in time to arrive by the deadline.


Step 5: Pay any Class 1A NICs Owed

Once you have submitted the P11D form, HMRC will use the information provided to calculate the National Insurance contributions owed by your business on the benefits and expenses provided to your employees. You will then receive a Class 1A NICs bill, which must be paid by 19 July if paying electronically or 22 July if paying by cheque.



How to Fill P11D Form for Expenses and Benefits 2022 to 2023

Filling out the P11D form is a crucial task for UK employers, as it details the expenses and benefits provided to employees. The form for the tax year 2022 to 2023 is comprehensive, covering various types of expenses and benefits. Here's a guide to help you navigate through it:


General Instructions

  • Ensure all entries are clear.

  • Fill in for directors or employees for the year up to 5 April 2023.

  • Submit all P11Ds and one P11D(b) by 6 July 2023.

  • Exclude payrolled benefits.


Section Breakdown and Suggestions

  1. A - Assets Transferred: This includes cars, property, goods, or other assets transferred to the employee. You'll need to describe the asset and provide details about its cost/market value, amount made good, or cash equivalent.

  2. B - Payments Made on Behalf of the Employee: List payments made by the employer on behalf of the employee. This could include personal bills paid by the employer.

  3. C - Vouchers and Credit Cards: Enter the gross amount or amount foregone for vouchers and payments made using credit cards or tokens. This is especially relevant for childcare vouchers.

  4. D - Living Accommodation: If you provide living accommodation, enter the cash equivalent or relevant amount of accommodation provided. Remember that exemptions don't apply if using optional remuneration arrangements.

  5. E - Mileage Allowance Payments: Only include mileage allowances in excess of the exempt amounts and those not taxed at source.

  6. F - Cars and Car Fuel: For cars made available to the employee, provide details like make and model, CO2 emissions, and the list price including any non-standard accessories. Also, note any capital contributions made by the employee.

  7. G - Vans and Van Fuel: Similar to cars, list the total cash equivalent or amount foregone for vans and fuel provided.

  8. H - Interest-free and Low Interest Loans: If the total amount outstanding on all loans exceeds £10,000 at any time in the year, details need to be provided here.

  9. I - Private Medical Treatment or Insurance: Enter the cost to the employer or amount foregone, and the cash equivalent or relevant amount for private medical treatment or insurance provided.

  10. J - Qualifying Relocation Expenses Payments and Benefits: List any expenses and benefits related to relocation, noting the excess over £8000 for each move.

  11. K - Services Supplied: This section is for services supplied to the employee, such as professional services.

  12. L - Assets Placed at Employee's Disposal: Describe any assets that were placed at the employee's disposal but not transferred.

  13. M - Other Items: Include other benefits not covered in previous sections, like subscriptions and professional fees.

  14. N - Expenses Payments Made on Behalf of the Employee: This covers various expenses payments made on behalf of the employee, including travel, entertainment, and non-qualifying relocation expenses.

Final Steps

  • Recheck all entries for accuracy.

  • Submit the form by the due date to avoid penalties.

Note to Employees

  • Keep this form safe as it is needed for tax return purposes.

  • The box numbering on the P11D form corresponds to the 'Employment' page of the tax return.

This guide provides a comprehensive overview of each section of the P11D form for the tax year 2022 to 2023. It's crucial to provide accurate and detailed information to ensure compliance and avoid any issues with HMRC.



How to Fill P11D Working Sheet 1 - Living Accommodation 2022 to 2023

Filling out the P11D Working Sheet 1 for living accommodation for the tax year 2022 to 2023 requires detailed information about the accommodation provided to employees. Here's a step-by-step guide:


General Instructions

  • This sheet is for calculating the cash equivalent of living accommodation provided to directors or employees.

  • Ensure accuracy as it impacts tax calculations.

  • Use alongside the P11D Guide and tax guide ‘480’.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Begin by entering the employer's name, PAYE reference, employee's name, surname, first names, works number or department, and National Insurance number.

  2. The Accommodation: Provide the address of the accommodation. If it wasn't provided for the full tax year, prorate the values accordingly.

  3. Section 1 - The Basic Benefit:

    • Rent Payable: Enter the annual rent payable for the accommodation. If a lease premium is involved (for leases of 10 years or less entered into or extended on or before 22 April 2009), add this to the rent.

    • Annual Value: Input the annual value of the accommodation.

    • Greater of Rent and Annual Value: Enter the greater of the two values from above.

    • Amount Made Good: Deduct any amount made good by the employee from the greater value to find the cash equivalent of the basic benefit.


Section 2 - The Additional Yearly Rent:

  • Cost Calculations: If the accommodation's cost exceeds £75,000, calculate the additional yearly rent. This includes the cost of acquiring and improving the accommodation, less any contributions by the employee.

  • Excess Over £75,000: Determine the excess of the cost over £75,000.

  • Calculate Additional Yearly Rent: Multiply the excess by 2% (the official rate of interest). Adjust for part-year provision if applicable and deduct any rent paid by the employee.


Section 3 - Other Benefits:

  • Checklist: Review and tick any additional benefits associated with the accommodation, like heating, lighting, repairs, decoration, and furniture benefits.

  • Calculation Guidance: Refer to tax guide ‘480’ for calculating these benefits and details of exemptions and limits.


Optional Remuneration Arrangements:

  • Basic Benefit and Additional Yearly Rent: If the accommodation is provided under an optional remuneration arrangement, calculate the relevant amount as instructed in this section, considering the salary foregone by the employee.


Final Steps

  • The total amount to be entered in section D box 14 on form P11D is the sum of the basic benefit and any additional yearly rent, adjusted for optional remuneration arrangements.

  • Keep a copy of the completed worksheet for records.

  • Remember that accuracy is key to avoid discrepancies and potential issues with HMRC.

Completing the P11D Working Sheet 1 for living accommodation requires careful attention to the specific details of the accommodation provided, its cost, and any additional benefits. It's important to accurately calculate the cash equivalent value to ensure proper reporting and compliance with tax regulations.


Who Should Have the P11D?

The employer files Form P11D at the end of the fiscal year. If you are self-employed, you must complete the form because you are basically both an employer and an employee.


When Should I Submit the P11D?

P11D returns are conveniently independent of your tax year and must be filed by July 6 following that tax year. Therefore, the P11D for the fiscal year of April 6, 2023, to April 5, 2024, must be filed before July 6, 2024.



How to Fill P11D Working Sheet 2 - Car and Car Fuel Benefit 2022 to 2023

Completing the P11D Working Sheet 2 for car and car fuel benefits for the tax year 2022 to 2023 is a detailed process that requires various pieces of information about the car provided to the employee. Here is a step-by-step guide:


General Instructions

  • This form is for each car made available to a director or employee for the year 2022 to 2023.

  • A separate form is needed for each car.

  • Refer to the ‘P11D Guide’ and tax guide ‘480 (2023)’ for specific instructions.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Enter the employer's name, PAYE reference, and the employee's full name, works number or department, and National Insurance number.

  2. Car Details: Provide the make and model of the car, the date it was first registered, and confirm if this was the only car made available to the employee. If more than one car was provided, complete a separate worksheet for each.


Price of the Car (Section 1):

  • Enter the list price of the car including standard accessories.

  • For classic cars (at least 15 years old and worth more than £15,000), use the market value.


Accessories (Section 2):

  1. Include the price of all accessories not included in the list price.

  2. Capital Contributions (Section 3): Deduct any capital contributions made by the employee towards the cost of the car or the accessories (up to a maximum of £5,000).


Calculate the Car Benefit Charge (Section 4):

  • Determine the price used to calculate the car benefit charge.

  • Calculate the appropriate percentage based on CO2 emissions and fuel type using the provided tables.


Calculating the Appropriate Percentage (Section 5):

  • Follow the instructions based on the car's registration date and CO2 emissions figure.

  • Use Table 2 for cars registered on or after 1 January 1998 with an approved CO2 emissions figure.

  • Use Table 3 for cars without an approved CO2 emissions figure.

  • Use Table 4 for cars registered before 1 January 1998.


Calculate the Car Benefit for a Full Year (Section 6):

  • Determine the total annual car benefit.

  • Deduct for any days the car was unavailable.

  • Make deductions for any payments made for private use.


Calculate the Car Fuel Benefit Charge (Section 9):

  • Calculate the car fuel benefit charge for the whole tax year.

  • Make adjustments for days when the car or fuel was unavailable.


Final Steps

  • Add together the figures for the car benefit and car fuel benefit charge.

  • Enter the final figures on form P11D at section F boxes 9 and 10.

  • Retain a copy of the worksheet for your records.


Completing the P11D Working Sheet 2 accurately is essential for determining the correct amount of tax due on car and car fuel benefits. It's important to follow the guidelines and use the correct tables and rates for the specific circumstances of the car and its usage.


How to Fill P11D Working Sheet 2b - Car and Car Fuel Benefit Provided Under Optional Remuneration Arrangements 2022 to 2023

Filling out the P11D Working Sheet 2b is crucial for calculating the car and car fuel benefit under optional remuneration arrangements for the tax year 2022 to 2023. Here's a detailed guide:


General Instructions

  • This form is used for each car made available under optional remuneration arrangements.

  • Complete a separate form for each car.

  • Review the ‘P11D Guide’ and tax guide ‘480 (2023)’ before starting.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Fill in the employer's name, PAYE reference, and employee's name, surname, first names, works number or department, and National Insurance number.

  2. Car Details: Input the make and model, the date it was first registered, and indicate whether this was the only car made available to the employee.


List Price and Accessories (Sections 1 and 2):

  • Enter the list price of the car (box A) and the price of all accessories (box B).

  • For classic cars, use the market value as of 5 April 2023 or the last day of availability in the tax year.


Calculating the Appropriate Percentage (Sections 3a, 3b, 3c):

  • Determine the appropriate percentage based on CO2 emissions, fuel type, and registration date.

  • Use Table 2 for cars with an approved CO2 emissions figure.

  • Use Table 3 for cars without an approved CO2 emissions figure, and Table 4 for cars registered before 1 January 1998.


The Modified Cash Equivalent (Section 4):

  • Calculate the interim sum (box C) and multiply it by the appropriate percentage to get the modified cash equivalent.

  • Make any deductions for days the car was unavailable.


Amount Foregone (Section 5):

  • Enter the amount foregone for the car for the year.

  • Compare this with the modified cash equivalent and use the higher figure.


Capital Contributions (Section 6):

  • Deduct capital contributions made by the employee (up to £5,000).

  • Adjust for availability.


Payments for Private Use (Section 7):

  • Enter any required payments made for private use.

  • Multiply this by the appropriate percentage and adjust for availability.


Car Fuel Benefit Charge (Section 8):

  • Enter the amount foregone for car fuel.

  • Calculate the fuel benefit charge, make deductions for days when the car or fuel was unavailable, and compare with the amount foregone.


Final Steps

  • Enter the relevant amounts for car benefit and car fuel benefit on form P11D at section F boxes 9 and 10.

  • Retain a copy of each completed working sheet for records.

Filling out the P11D Working Sheet 2b accurately is crucial for employers providing cars and fuel under optional remuneration arrangements. It requires meticulous attention to detail and accurate calculations based on specific criteria like CO2 emissions, fuel type, and car availability. This ensures correct reporting and compliance with tax regulations.



How to Fill P11D Working Sheet 3 - Vans Available for Private Use 2022 to 2023

Completing P11D Working Sheet 3 for vans available for private use for the tax year 2022 to 2023 involves calculating the cash equivalent of the benefit. Here's a detailed guide:


General Instructions

  • This form is used if a van was available for private use by a director or employee during the tax year (6 April 2022 to 5 April 2023).

  • The form should not be used if the benefit is provided under an optional remuneration arrangement.

  • Refer to the ‘P11D Guide’ for additional guidance.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Enter the employer's name, PAYE reference, employee's name, surname, first names, works number or department, and National Insurance number.

  2. The Van:

    • Provide the registration number of the van.

    • Indicate if this was the only van made available to the employee. If not, complete a worksheet for each van.


Van Benefit Charge (Section 1):

  • The standard charge for a van for the whole of 2022 to 2023 is £3,600 (box A).

  • Note that for zero-emission vans (including electric vans), the benefit charge is nil.


Reductions for Unavailability (Section 2):

  • If the van was not available for the whole tax year, provide the dates it was available.

  • Calculate the number of days it was unavailable and enter this at box B.

  • Consider any other periods of at least 30 continuous days when the van was not available to the employee.


Calculation of Van Benefit Charge:

  • Calculate the total days the van was unavailable.

  • Deduct the reduction for unavailability from the standard charge to get the van benefit charge after reduction for unavailability (box G).


Reduction for Sharing (Section 3):

  • If the van was shared by at least one other employee, reduce the benefit charge on a just and reasonable basis.

  • Provide an explanation for the basis of sharing reduction.

  • Calculate the van benefit charge after reduction for sharing (box K).


Reduction for Payments for Private Use (Section 4):

  • Enter any payments the employee made for private use of the van.

  • Calculate the van benefit charge for this van in 2022 to 2023 (box M).


Van Fuel Benefit Charge (Section 5):

  • The fuel benefit charge for the whole tax year is £688 (box P).

  • Make reductions for days when the van was unavailable or fuel was not provided.


Calculation of Van Fuel Benefit Charge:

  • Calculate the total days that no fuel benefit charge applies.

  • Deduct the reduction for unavailability from the standard fuel benefit charge to get the van fuel benefit charge after reduction for unavailability.

  • If the van fuel was shared, make a reduction for sharing.

  • Calculate the van fuel benefit charge for this van in 2022 to 2023 (box X).


Final Steps

  • Enter the figures for van benefit and van fuel benefit on form P11D at section G boxes 9 and 10.

  • Keep a copy of each completed working sheet for records.

Completing the P11D Working Sheet 3 accurately is essential for employers providing vans for private use. It requires careful attention to details like unavailability periods, sharing arrangements, and any payments made by the employee for private use. This ensures correct reporting and compliance with tax regulations.



How to Fill P11D Working Sheet 4 - Interest-free and Low Interest Loans 2022 to 2023

Completing P11D Working Sheet 4 is essential for calculating the cash equivalent of interest-free or low interest loans provided to employees or directors for the tax year 2022 to 2023. Here's a step-by-step guide:


General Instructions

  • This form is for reporting loans where no interest is paid or where interest is below the official rate.

  • It includes non-qualifying loans made to a director or employee (or their relatives) and 'notional loan' benefits of shares.

  • Review the ‘P11D Guide’ and tax guide ‘480’.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Start by entering the employer's name, PAYE reference, and the employee's full name, works number or department, and National Insurance number.

  2. The Loans:

    • If the total amount outstanding on all loans is not more than £10,000 at any time in the year, you don't need to complete this worksheet or section H of form P11D, unless the loan is provided under an optional remuneration arrangement.


Loan Details (Section 1):

  • List each loan separately.

  • Include the maximum amount outstanding at any time in the year and the currency if other than sterling.


Official Rates of Interest (Section 2):

  • Obtain the average official rate of interest for the tax year (available at www.gov.uk).

  • For loans in Japanese Yen or Swiss Francs, use the official rate for these currencies.


Calculating the Cash Equivalent (Section 3):

Use the formula provided:

  • A: Maximum balance on 5 April 2022 or date the loan was taken out (whichever is later).

  • B: Maximum balance on 5 April 2023 or date loan was discharged (whichever is earlier).

  • C: Total of A and B.

  • D: Divide C by 2.

  • E: Number of complete tax months throughout which the loan was owing.

  • F: Multiply D by E, then divide by 12.

  • G: Official rate of interest.

  • H: Multiply F by G.

  • Enter interest paid in 2022 to 2023.

  • K: Cash equivalent of loans is H minus interest paid.

  • Enter the figures at K in section H box 15 on form P11D.


Additional Considerations:

  • For more than two loans, write ‘see attached’ in section H box 15 and attach a copy of this worksheet.

  • Add together the cash equivalents of all the loans for Class 1A NICs calculations on form ‘P11D(b)’.

  • If a loan is under an optional remuneration arrangement, the relevant amount is the amount foregone less any interest paid.


Final Steps

  • Ensure all calculations are accurate.

  • Keep a copy of each completed working sheet for records.

  • Remember, you do not need to send a copy to HM Revenue and Customs.

Completing the P11D Working Sheet 4 requires attention to detail and accurate calculations based on the loan's specifics and the official rates of interest. This ensures correct reporting of the benefit value for tax purposes and compliance with HMRC regulations.


How to Fill P11D Working Sheet 5 - Relocation Expenses Payments and Benefits 2022 to 2023

The P11D Working Sheet 5 is for employers to calculate the cash equivalent of relocation expenses payments and benefits provided to directors or employees. For the tax year 2022 to 2023, here's how to complete it:


General Instructions

  • Use this form for relocation expenses payments and benefits during 6 April 2022 to 5 April 2023.

  • Review the ‘P11D Guide’ for detailed instructions.

  • Keep a copy of the completed Working Sheet but do not send it to HMRC.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Fill in the employer's name, PAYE reference, and the employee's full name, works number or department, and National Insurance number.


Qualifying Expenses Payments (Section 1):

  • Enter the gross amount of all qualifying expenses payments (Box A).

  • Include the cost to you as an employer of any qualifying benefits (Box 1).

  • Deduct any amount paid towards the cost by the employee (Box 2).

  • Calculate the total of expenses and benefits (A + B + C) and enter it in Box D.


Calculating the Exempt Amount (Section 2):

  • For each relocation, a fixed amount of qualifying relocation expenses and benefits can be exempt.

  • The exempt amount for 2022 to 2023 is £8,000 (Box 3).

  • Deduct any amount of qualifying expenses and benefits incurred in the previous tax year (Box 4).

  • Calculate the exempt amount for this employee (Box E).


Final Calculation:

  • Subtract the exempt amount (E) from the total of expenses and benefits (D).

  • Enter the result in Box F.

  • If the exempt amount is more than the total expenses and benefits, enter ‘NIL’ in Box F.


Bridging Loans:

  • If a bridging loan was provided, remember that it's a taxable benefit.

  • The taxable benefit may be reduced if the loan is a bridging loan made in connection with a qualifying relocation.

  • Guidance on the calculation of the relief is set out in tax guide ‘480’.


Additional Notes

  • For complex cases, especially those involving bridging loans, it's advisable to consult tax guide ‘480’.

  • If unsure about whether a relief applies, you may wish to advise employees to contact HMRC.


Final Steps

  • Enter the figures from Box F in section J box 15 on form P11D.

  • Ensure all calculations are accurate and retain a copy for your records.

Filling out P11D Working Sheet 5 requires meticulous attention to the details of the relocation expenses and benefits. Accurate calculation is vital to ensure compliance with tax regulations and to avoid under-reporting or over-reporting of the benefit value.



How to Fill P11D Working Sheet 6 - Mileage Allowance Payments 2022 to 2023

Completing P11D Working Sheet 6 involves calculating the taxable amount for mileage allowances paid to employees using their own vehicles for business travel during 2022 to 2023. Here’s a guide:


General Instructions

  • Use this form for employees or directors who were paid mileage allowances for using their own vehicle for business travel.

  • Do not use this form if the benefits are provided under an optional remuneration arrangement.

  • Refer to the ‘P11D Guide’ and ‘CWG2: further guide to PAYE and National Insurance Contributions’.


Section Breakdown and Suggestions

  1. Employer and Employee Details: Start by entering the employer's name, PAYE reference, and the employee's full name, works number or department, and National Insurance number.


Mileage Allowance Payments Made to Employee (Section 1):

  • Enter the total amount of mileage allowance payments made to the employee in 2022 to 2023.

  • Deduct any amounts from which tax has been deducted at source to calculate the net mileage allowance paid (Box C).


Vehicle Used (Section 2):

  • Specify the type of vehicle used (car, van, motorcycle, or cycle).

  • Use separate Working Sheets for different types of vehicles.

  • Enter the total business miles travelled by the employee in the specified vehicle.


Table of Mileage Rates (Section 3):

  • Refer to the mileage rates for cars, vans, motorcycles, and cycles.

  • The rates are 45p for the first 10,000 business miles and 25p for each mile over 10,000 for cars and vans; 24p for motorcycles; and 20p for cycles.


Approved Mileage Allowance Payments (AMAPs) (Section 4):

  • Use the appropriate rates as shown in the table for the first 10,000 business miles and each mile over 10,000.

  • Calculate the maximum amount that can count as tax-free approved mileage allowance payments for the type of vehicle used.


Comparison and Taxable Amount (Section 4 and 5):

  • Compare the total approved mileage allowance payments with the net mileage allowance paid.

  • If the approved amount is less than the net paid, the difference is taxable.

  • Enter the taxable amount in section E box 12 on form P11D, if more than zero.


Additional Notes

  • Keep a copy of each completed working sheet for your records, but do not send it to HM Revenue and Customs.

  • If you paid the employee for more than one kind of vehicle, add together the amounts from each working sheet for reporting.


Final Steps

  • Ensure all calculations are accurate and reflect the actual business mileage and payments.

  • For any taxable amount, report it on form P11D in section E box 12.

Filling out the P11D Working Sheet 6 requires careful consideration of the mileage rates, vehicle type, and actual miles traveled. It’s crucial to calculate the taxable amount accurately to ensure compliance with HMRC requirements and proper reporting on the P11D form.


What are the Advantages of the P11D Form in the UK?


The P11D form is a crucial tax document that employers in the UK must complete and submit to HM Revenue and Customs (HMRC) each year. While filling out the form may seem like a time-consuming task, there are several advantages to doing so. In this article, we will explore the advantages of the P11D form and how it benefits both employers and employees.


Advantage 1: Compliance with Tax Regulations

One of the main advantages of the P11D form is that it helps employers comply with tax regulations in the UK. Employers are legally required to provide accurate information about the benefits and expenses provided to their employees and submit the form to HMRC by the deadline. Failure to do so can result in penalties and interest charges.


By completing and submitting the P11D form on time, employers can demonstrate their commitment to compliance and avoid any potential legal or financial consequences.


Advantage 2: Transparency for Employees

Another advantage of the P11D form is that it provides transparency for employees. By reporting the value of benefits and expenses provided to employees, employers are providing them with a clear understanding of the additional compensation they have received and the tax and National Insurance contributions owed on these benefits.


This transparency can help build trust between employers and employees and ensure that employees are fully aware of their tax obligations.


Advantage 3: Accuracy in Calculating Tax Owed

The P11D form also helps ensure accuracy in calculating the amount of tax and National Insurance contributions owed on benefits and expenses. By providing detailed information about the benefits and expenses provided to employees, HMRC can accurately calculate the tax owed and reduce the likelihood of errors or underpayment.


This accuracy benefits both employers and employees, as it reduces the risk of penalties or interest charges and ensures that tax obligations are met in full.


Advantage 4: Equal Treatment of Employees

Another advantage of the P11D form is that it ensures equal treatment of employees. By reporting the value of benefits and expenses provided to all employees, regardless of their position or seniority, employers can demonstrate their commitment to fairness and equality in the workplace.


This can help build a positive workplace culture and ensure that all employees feel valued and appreciated.


Advantage 5: Awareness of Tax Obligations

The P11D form also helps raise awareness of tax obligations among both employers and employees. By providing information about the tax owed on benefits and expenses, employers can educate their employees about their tax obligations and help them understand the importance of compliance.


This awareness can help prevent unintentional errors or underpayment of tax and National Insurance contributions and ensure that both employers and employees are fully aware of their responsibilities.


In conclusion, the P11D form is an essential tax document that benefits both employers and employees in the UK. By providing transparency, accuracy, and compliance with tax regulations, the P11D form helps ensure fairness and equality in the workplace and ensures that tax obligations are met in full. If you are an employer in the UK, it is important to understand the advantages of the P11D form and the role it plays in building a positive and compliant workplace culture.



Get Professional Help for P11D Form in the UK

Why is it a Good Idea to Get Professional Help for P11D Form in the UK?


The P11D form is a crucial tax document that employers in the UK must complete and submit to HM Revenue and Customs (HMRC) each year. While filling out the form may seem like a straightforward task, there are several complex rules and regulations that must be followed to ensure accuracy and compliance. This is why it is often a good idea to seek professional help when filling out the P11D form. In this article, we will explore the advantages of getting professional help for the P11D form and why it is a good idea for employers in the UK.


Advantage 1: Expert Knowledge of Tax Regulations

One of the primary advantages of getting professional help for the P11D form is the expert knowledge of tax regulations that these professionals possess. Tax regulations can be complex and difficult to navigate, especially for those who are not familiar with them. By working with a professional, employers can ensure that they are following all the rules and regulations set out by HMRC and avoiding any potential penalties or interest charges.


Advantage 2: Accuracy and completeness

Another advantage of getting professional help for the P11D form is the increased accuracy and completeness of the form. Professional tax experts have the knowledge and experience necessary to ensure that all the necessary information is included in the form and that it is accurate and complete. This can reduce the likelihood of errors or underpayment of tax and National Insurance contributions, which can lead to penalties or interest charges.


Advantage 3: Timeliness

Filing the P11D form on time is crucial to avoid penalties and interest charges. Professional tax experts have the expertise and resources necessary to complete the form accurately and efficiently and to file it on time. This can help employers meet the deadline and avoid any potential legal or financial consequences.


Advantage 4: Customized Advice

Every business is unique, and the benefits and expenses provided to employees can vary significantly from one business to another. By working with a professional tax expert, employers can receive customized advice on how to report the benefits and expenses provided to their employees and how to comply with tax regulations. This can help ensure that the P11D form accurately reflects the benefits and expenses provided by the business and that compliance is maintained.


Advantage 5: Peace of Mind

Finally, getting professional help for the P11D form can provide employers with peace of mind. Filling out tax forms can be stressful and time-consuming, and mistakes can have serious consequences. By working with a professional tax expert, employers can rest assured that the form is accurate and complete and that compliance with tax regulations has been achieved. This can reduce stress and anxiety and help employers focus on running their businesses.


In conclusion, getting professional help for the P11D form is a good idea for employers in the UK. By working with tax experts who possess the knowledge, experience, and resources necessary to ensure accuracy, completeness, and compliance, employers can avoid potential penalties or interest charges and focus on running their business. If you are an employer in the UK, it is worth considering the advantages of getting professional help for the P11D form and working with tax experts who can provide customized advice and peace of mind.


What Is P11D(b) Form in the UK


What Is P11D(b) Form in the UK?

If you're an employer in the UK, you may have heard of a P11D(b) form. But what is it, and why is it important? In this article, we'll explore everything you need to know about the P11D(b) form, from what it is to why you need it.


What Is a P11D(b) Form?

A P11D(b) form is a tax form used by employers to report the total amount of Class 1A National Insurance contributions due on the benefits and expenses provided to their employees during the tax year. Class 1A National Insurance contributions are payable on certain benefits and expenses provided by employers to their employees.


The purpose of the P11D(b) form is to ensure that employers are paying the correct amount of National Insurance contributions on the benefits and expenses they provide to their employees.


Why Do You Need a P11D(b) Form?

If you're an employer who provides any benefits or expenses to your employees during the tax year, you will need to complete a P11D(b) form. This is because you will need to pay Class 1A National Insurance contributions on the benefits and expenses provided.


Your P11D(b) form should include a summary of the total amount of Class 1A National Insurance contributions due on the benefits and expenses provided to your employees during the tax year.


What Information Is Required on a P11D(b) Form?


The P11D(b) form requires a variety of information to be provided, including:


Employer details, such as name and address

A summary of the total amount of Class 1A National Insurance contributions due on the benefits and expenses provided to employees during the tax year

The total amount of expenses and benefits provided to employees during the tax year

Any payments made by employees towards the benefits or expenses

The information provided on the P11D(b) form should be accurate and up-to-date. If any changes occur during the tax year, the P11D(b) form will need to be updated accordingly.


When Is the P11D(b) Form Due?

The P11D(b) form must be completed and submitted to HM Revenue and Customs (HMRC) by the 6th of July following the end of the tax year (which runs from 6th April to 5th April the following year). Any Class 1A National Insurance contributions that are due must also be paid by this deadline.


If you fail to submit the P11D(b) form or pay the Class 1A National Insurance contributions due by the deadline, you could face penalties and interest charges.


Conclusion

The P11D(b) form is an important tax form used by employers in the UK to report the total amount of Class 1A National Insurance contributions due to the benefits and expenses provided to their employees. If you're an employer who provides any benefits or expenses to your employees during the tax year, it's important to ensure that you complete and submit a P11D(b) form.


By submitting the P11D(b) form and paying any Class 1A National Insurance contributions due, you can ensure that you're paying the correct amount of National Insurance on the benefits and expenses you provide to your employees. So if you're unsure about your obligations or have any other questions about the P11D(b) form, be sure to speak to a qualified accountant or tax professional.



What Is P11D(b) Form in the UK?

If you're an employer in the UK, you may have heard of a P11D(b) form. But what is it, and why is it important? In this article, we'll explore everything you need to know about the P11D(b) form, from what it is to why you need it.


What Is a P11D(b) Form?

A P11D(b) form is a tax form used by employers to report the total amount of Class 1A National Insurance contributions due on the benefits and expenses provided to their employees during the tax year. Class 1A National Insurance contributions are payable on certain benefits and expenses provided by employers to their employees.


The purpose of the P11D(b) form is to ensure that employers are paying the correct amount of National Insurance contributions on the benefits and expenses they provide to their employees.


Why Do You Need a P11D(b) Form?

If you're an employer who provides any benefits or expenses to your employees during the tax year, you will need to complete a P11D(b) form. This is because you will need to pay Class 1A National Insurance contributions on the benefits and expenses provided.


Your P11D(b) form should include a summary of the total amount of Class 1A National Insurance contributions due on the benefits and expenses provided to your employees during the tax year.


What Information Is Required on a P11D(b) Form?


The P11D(b) form requires a variety of information to be provided, including:


Employer details, such as name and address

A summary of the total amount of Class 1A National Insurance contributions due on the benefits and expenses provided to employees during the tax year

The total amount of expenses and benefits provided to employees during the tax year

Any payments made by employees towards the benefits or expenses

The information provided on the P11D(b) form should be accurate and up-to-date. If any changes occur during the tax year, the P11D(b) form will need to be updated accordingly.


When Is the P11D(b) Form Due?

The P11D(b) form must be completed and submitted to HM Revenue and Customs (HMRC) by the 6th of July following the end of the tax year (which runs from 6th April to 5th April the following year). Any Class 1A National Insurance contributions that are due must also be paid by this deadline.


If you fail to submit the P11D(b) form or pay the Class 1A National Insurance contributions due by the deadline, you could face penalties and interest charges.



How to Fill and Submit P11D (b) Form


If you're an employer in the UK who needs to complete a P11D(b) form, you may be wondering how to do so correctly. In this article, we'll walk you through the process of filling and submitting a P11D(b) form step-by-step.


Step 1: Gather Information

Before you begin filling out the P11D(b) form, you'll need to gather some information. This will include:


Employer details, such as your name and address

The total amount of benefits and expenses provided to employees during the tax year

The cash equivalent value of each benefit and expense provided

Any payments made by employees towards the benefits and expenses

Make sure that you have accurate and up-to-date information, as any errors or omissions could result in penalties or interest charges.


Step 2: Complete the Form

The P11D(b) form can be completed either online or in paper format. To complete the form online, you will need to register for HM Revenue and Customs (HMRC) Online Services.


When completing the form, you will need to provide the following information:


Employer details, such as your name and address

A summary of the total amount of Class 1A NICs due on the benefits and expenses provided to employees during the tax year

The total amount of expenses and benefits provided to employees during the tax year

Any payments made by employees towards the benefits and expenses

If you're completing the form online, you'll be guided through the process step-by-step. If you're completing the form on paper, you can find a copy of the form on the HMRC website.


Step 3: Submit the Form

Once you have completed the P11D(b) form, you will need to submit it to HMRC. If you completed the form online, you can submit it electronically. If you completed the form on paper, you will need to mail it to the address provided on the form.


The P11D(b) form must be submitted by the 6th of July following the end of the tax year. If you submit the form late, you may be subject to penalties and interest charges.


Step 4: Pay Class 1A NICs

Along with submitting the P11D(b) form, you will also need to pay any Class 1A NICs due. You can pay these online or by cheque, using the payment slip provided with the P11D(b) form.


The payment of Class 1A NICs must also be made by the 6th of July following the end of the tax year. If you pay late, you may be subject to penalties and interest charges.



Filling and submitting a P11D(b) form may seem daunting, but by following the steps outlined in this article, you should be able to complete the process with ease. Remember to gather accurate information, complete the form correctly, and submit it by the deadline. And don't forget to pay any Class 1A NICs due on time to avoid any penalties or interest charges. If you have any questions or need further guidance, be sure to speak to a qualified accountant or tax professional.



Conclusion

The P11D(b) form is an important tax form used by employers in the UK to report the total amount of Class 1A National Insurance contributions due to the benefits and expenses provided to their employees. If you're an employer who provides any benefits or expenses to your employees during the tax year, it's important to ensure that you complete and submit a P11D(b) form.


By submitting the P11D(b) form and paying any Class 1A National Insurance contributions due, you can ensure that you're paying the correct amount of National Insurance on the benefits and expenses you provide to your employees. So if you're unsure about your obligations or have any other questions about the P11D(b) form, be sure to speak to a qualified accountant or tax professional.



Most Important FAQs P11D Form


1. Q: Can employees claim any tax relief on benefits reported on Form P11D?

A: Yes, employees can claim tax relief on some benefits if they are wholly, exclusively, and necessarily for the performance of their duties.


2. Q: What happens if an employer files Form P11D late?

A: Late filing of Form P11D can result in penalties from HMRC, ranging from £100 per 50 employees for each month or part month the form is late.


3. Q: Are there any exemptions to reporting on Form P11D?

A: Yes, certain benefits like business travel, phone bills, and uniform expenses may not need to be reported, subject to conditions.


4. Q: How is the 'benefit in kind' value calculated on a company car?

A: The value is based on the car's list price, fuel type, and CO2 emissions, with a percentage applied to derive the taxable benefit.


5. Q: Can Form P11D be amended once submitted?

A: Yes, if errors are found, employers can amend a P11D form after submission, usually within 6 years of the end of the tax year.


6. Q: Is there a deadline for employees to report errors on a P11D form?

A: Employees should report errors to their employer or HMRC as soon as possible, ideally before the tax return deadline.


7. Q: How are living accommodation benefits reported on P11D?

A: Employers must report the cash equivalent of the living accommodation, calculated based on the property's annual value, rent paid by the employer, and any other expenses.


8. Q: What if an employer provides interest-free loans to employees?

A: Interest-free or low-interest loans above £10,000 must be reported on P11D, with the benefit calculated using HMRC's official interest rates.


9. Q: Are there special rules for reporting medical insurance on P11D?

A: Private medical insurance provided to employees is a taxable benefit and must be reported on P11D, with the premium paid being the reportable amount.


10. Q: How does an employer report educational expenses on P11D?

A: Educational expenses paid by the employer for an employee's training relevant to the job are exempt, but other educational benefits should be reported.


11. Q: What are the implications of not reporting a benefit on P11D?

A: Failing to report a benefit can lead to penalties and interest charges from HMRC, as well as potential underpaid tax liabilities for the employee.


12. Q: Can an employer pay the tax due on benefits instead of the employee?

A: Yes, through a Pay As You Earn Settlement Agreement (PSA), employers can settle the tax and National Insurance on certain benefits.


13. Q: How does business entertainment benefit get reported on P11D?

A: Business entertainment expenses incurred by employees and reimbursed by employers are usually not reportable on P11D.


14. Q: Is there a specific format for submitting P11D to HMRC?

A: P11D forms should be submitted to HMRC either online or using the paper form, following HMRC’s specific format and guidelines.


15. Q: How are childcare vouchers reported on P11D?

A: Childcare vouchers over the tax-free amount are reportable on P11D, with the excess amount considered a taxable benefit.


16. Q: What records must an employer keep related to P11D?

A: Employers need to keep detailed records of all benefits and expenses provided, including cost, dates, and employee details, typically for 3 years.


17. Q: How are company shares or securities reported on P11D?

A: Company shares or securities provided to employees are reported on P11D based on the market value or any discount provided.


18. Q: What are the reporting requirements for overseas employees?

A: Overseas employees with UK tax liabilities must also be included on P11D, with their benefits reported in the same way as UK employees.


19. Q: Can employers submit P11D forms for previous tax years?

A: Employers can submit P11D forms for previous years if required, though this may result in penalties and interest for late reporting.


20. Q: How are work-related training courses reported on P11D?

A: Work-related training courses paid for by the employer are usually exempt from reporting on P11D as they are considered necessary for the employee's role.



158 views

Recent Posts

See All

Comentarios


bottom of page