The deadline to report your business’ benefits and expenses for the 2016/17 tax year is 6 July 2017.
This is a mandatory procedure for employers and requires completing 2 forms – P11D and P11D (b).
If you haven’t downloaded the forms, they can be accessed via the HMRC website.
Each employee given expenses or benefits must be provided with a P11D form for their tax records.
P11D (b) is a separate form and is used to report class 1A national insurance contributions (NICs) due on expenses and benefits.
Class 1A NICs needs to be paid no later than 19 July 2017.
When completing your P11D form, the following format is obligatory:
- use Arial font size 11 (if printed)
- sort by employee, not benefit type
- include your employer reference
- include employee’s name and national insurance number
- put an employee’s expenses and benefits on the same line
- include P11D letter codes next to each benefit.
If you have registered with HMRC before 6 April, you can deduct and pay tax on most expenses through your payroll – exempting you from completing a P11D.
However, a P11D (b) form is still required on any class 1A NICs you owe.
Talk to us about your reporting obligations.