Avoid penalties by accurately submitting P11D forms

Submitting P11D forms is an essential part of reporting employee expenses and benefits.  

We’ve put together some valuable tips on maintaining compliance and preventing penalties which will help your business run smoothly.

Understanding the P11D form

The P11D form is a document devised to report taxable benefits provided to directors or employees to HMRC.

Employers must submit P11D forms annually, addressing items or services provided to employees, such as expense reimbursements, company cars, and private healthcare.

The deadline for filing P11D forms for the previous tax year is 6 July, whilst taxes should be paid by 22 July.

Essential information for the P11D form

Alongside standard employee information like name, date of birth, and National Insurance number, the P11D form necessitates comprehensive details on the taxable benefits provided.

Please note that when expenses and benefits are processed through payroll, a P11D form is not necessary.

Consequences of late or inaccurate P11D form submission

Employers can face a fine of £100 per 50 employees for each month or part of a month that the P11D form is overdue.

Additional penalties may apply as the submission date passes beyond 6 July.

Incorrectly completed forms can also result in penalties, which may be more severe if errors appear to conceal information rather than being careless.

Therefore, it is crucial to double-check all details before filing the form.

Upcoming changes to P11D form submission

P11D forms will be required to be submitted and amended online only, starting with the 2023/24 tax year.

This change means that P11D forms due by 6 July 2023 must be submitted electronically.

Employers can submit P11D forms through HMRC's PAYE online service, their Online End of Year Expenses and Benefits service, or using commercial payroll software.

For assistance with employee expenses, benefits, and filing P11D forms, do not hesitate to get in touch with us today.