A Guide to the P11D Tax Form

In this guide, we will look at what a P11D is and tell you everything you need to know, from who needs to file one to what information needs to be included.

What is a P11D?

A P11D is a tax form used to report items or services that you or your employees receive from your company.  These are known as benefits in kind. Some examples of benefits in kind include:

  • Private Healthcare
  • Company cars
  • Non-Business travel/entertainment expenses
  • Interest-free loans
  • Gym Memberships

When should you file your P11D?

P11Ds are filed by the employer not the employee and should be filed by 6TH July following the tax year in question. For example, for the tax year 6th April 2020 – 5th April 2021, your P11D would need to be filed by 6th July 2021.

What happens if you do not file a P11D?

HMRC will give you a fine if you file late or file incorrectly. If you miss the deadline, you will not incur a fine straightway, but you should aim to file this as soon as possible. HMRC will fine your company £100 per month per 50 employees.

 What should be included on your P11D?

Information that should be included on your P11D for each employee includes:

  • The name of the employee
  • Date of birth & gender
  • National insurance number
  • Payroll reference number
  • Prices for products/services provided
  • The total cash equivalent to the value of the goods provided

 How to file a P11D

P11Ds can be filed electronically to HMRC and can be done through most payroll software’s. You can find out more about filing P11D on gov.uk.

How does a P11D affect your tax code?

A P11D can alter your tax code due to you needing to pay additional tax on the benefit. Altering your tax code will reduce your tax-free allowance to compensate for any tax owed.

What is a P11D(b)?

A P11D(b) is a form employer must submit summarising the individual P11D forms they have completed for their employees.

Help with your P11D

If you need help with your P11D we would be happy to help. Please get in contact with us for more information.

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How Long Should You Keep Financial Records For?

The purpose of a document retention policy is to establish how a company should keep and maintain its documents such as financial records and insurance documents.

In this guide, we will advise you on how long you should be keeping personal and business financial records. It will also explain the process of drafting a document retention policy for your business.

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How To Avoid Cash Flow Problems

It’s common that most small businesses will have a cash flow problem at some point; luckily these can largely be prevented with planning and preparation. In this article we’ll run through some of the most common causes of cash flow problems, as well as offering practical advice on how to improve your cash flow.

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The Impact of Brexit on Small Businesses

With the UK set to leave the EU on 31st October, it is important to have a plan in place to prepare your business for Brexit and put it in the best position possible in time for the changes. We have listed some of the key things you need to consider before the UK leaves the EU.

Payroll Year End Checklist

The payroll year end is fast approaching and it’s important to make sure that you are prepared. There are a number of things you need to do to in order to successfully end the payroll year. Below we have devised a checklist to help guide you to a successful year end

Accountancy Tips for YouTubers and Twitch Streamers

Creators usually generate income either through advertising or through a partnership with brands and companies to produce a certain amount of content within a certain amount of time. Many content creators also look to gain extra income through selling merchandise or asking for donations to sites such as Patreon.  In-between trying to build up your following and trying to make creative content it can be easy to forget about the accounting side of things.  Below we have listed some helpful tips for making sure your accounting is up to scratch if you are a YouTuber or Twitch streamer.