As an employer, it’s your responsibility to keep track of any expenses or ‘benefits in kind’ that your directors or employees receive, whether this be private healthcare, company cars or work phones. This is where the P11D form comes in handy; it’s something that all employers should submit alongside a company’s tax return. So, if you’re wondering, ‘What is a P11D form?’, you’re in the right place. Within this guide, we’ll explore what the P11D form is, when you need it, what it looks like, what information is required, and where to find it.
What is a P11D Form, and when do You Need it?
Employers use a P11D form to declare taxable expenses and “benefits in kind” provided to employees over the financial year, running from April 6th to April 5th. This HMRC form specifically covers allowances and expenses that were not processed through payroll. The deadline for submission is July 6th, following the end of the tax year.
Employers must submit a P11D form every tax year outlining expenses and benefit payments given to their employees; these include (but are not limited to):
- • Company cars, mileage & fuel allowance
- • Private car & motorcycle mileage and fuel allowances
- • Business Travel
- • Business entertainment (business lunches, etc)
- • Transfer of assets
- • Working from home
- • Payments for the use of your home telephone
- • Work uniforms, tools & equipment
- • Credit and non-credit card expenses payments
- • Private medical insurance
- • Loans
Other items may also sit under the P11D form, including your childcare costs, taxis and rail fares for business needs.
What Does a P11D Form Look Like?
What Information Will You Find in a P11D Form?
When you receive your P11D form, it provides a detailed breakdown of the taxable benefits and expenses your employer has provided to you throughout the tax year. Understanding each section can help you reconcile these figures.
Your P11D will typically show the following key information and associated costs (or their cash equivalent, especially if vouchers were used):
- • Employer & Employee Details: This section confirms who the P11D is for and who issued it. You’ll see your employer’s name and address, as well as your own personal details, ensuring the form relates to the correct individual and company.
- • Your PAYE / UTR (Unique Taxpayer Reference): Your PAYE (Pay As You Earn) reference is your employer’s tax reference number, crucial for HMRC to identify your employer. If you are self-employed or have other income that requires a Self Assessment tax return, your UTR will also be listed here, acting as your personal identifier with HMRC.
- • Your National Insurance Number: This unique number is used by HMRC to record your National Insurance contributions and to identify you for tax purposes.
- • Assets Transferred: This refers to any assets (like company property, equipment, or even goods) that your employer transferred to you at less than their market value, or for free. The P11D will show the taxable value of these assets.
- • Payments Made on Behalf of the Employee: This section covers instances where your employer paid for something that was primarily your personal liability or benefit, but they covered the cost. An example might be personal bills (like a phone bill) paid by the company, travel, entertainment or relocation expenses.
- • Vouchers and Credit Cards: If your employer provided you with cash vouchers, non-cash vouchers (e.g., for goods or services), or paid for personal expenses on a company credit card, the value of these benefits will be listed here. This ensures that the taxable amount of these perks is accounted for.
- • Living Accommodation: If your employer provided you with living accommodation (such as a company flat or house), the taxable value of this benefit will be shown. This can include the rental value and any associated costs covered by the employer, like utilities.
- • Mileage and Passenger Payments: While many business mileage expenses are tax-free, this section will detail any mileage allowances you received that exceeded HMRC’s approved rates (which are tax-free) or any payments for carrying passengers in your own car during work-related journeys. The excess amounts are taxable benefits.
How do I Get a P11D Form?
If you are an employer/accountant for a business with fewer than 500 employees, you can submit the P11D form directly through HMRC’s website, through their PAYE Online service. If your company (or the one you work for) has over 500 employees, you will need to submit the P11D form through your payroll software.
Need Help with Your P11D?
Not sure where to start with the P11D form? Get in touch with our expert team today for all tax-related questions!
