Download P11d B Form

[Leanna Perr]

TheP11D form is used to report benefits in kind. These are items or services which you (or your employees) receive from your company in addition to your salary, such as private healthcare, interest-free loans (to pay for train season tickets, for example) and company cars. All of these items have an associated monetary value, which makes them subject to tax.

In 2024, HMRC announced big changes coming to the existing P11D process as of April 2026. From this date, all employers must payroll any benefits rather than submit a P11D form, which is forecast to reduce the need for over 4 million P11Ds to be submitted each year.

This change is a welcome one, as it will alleviate much of the time burden associated with filling out an additional form for what can be a simple benefit such as medical insurance. In the new system, benefits are reported in real time through payroll software.

Some expenses are exempt from P11D. These are governed by an exemption system, under which the majority of business expenses incurred personally by company employees no longer need to be recorded on a P11D form. Exempt expenses include:

If your mistake was genuine and HMRC believes you took reasonable care before filing, you might not face any fines. However, penalties of 30%, 70% or 100% of the owed tax can be applied if HMRC believes you acted carelessly, deliberately misled them or attempted to conceal your true liabilities.

If you need to pay loan interest on an overdrawn DLA, then the company will also need to pay Class 1A NICs on the interest payments (the current rate is 13.8% for the 2023/24 tax year). The company will also be required to complete Form P11D(b) and submit it to HMRC.

The cost of calls made by employees from their home telephone or personal mobile where the company has repaid the expense can be overlooked. Be sure to keep a note of all your business phone usage and make sure every call is included. Getting a company mobile phone is strongly recommended to avoid any confusion.

As with all tax filings, the accuracy of your P11D form is only as good as the data used to complete it. Try to keep your records up to date, reconcile your accounts often and address any problems early. If you stay on top of your accounts, filing your P11D will be a walk in the park.

You submitted a P11D showing a medical benefit of 300 and a car benefit of 2,100. The car benefit is correct but the medical benefit should be 500. Submit a P11D correction form showing both the medical benefit of 500 and the car benefit of 2,100.

Optional remuneration arrangements are arrangements where an employee gives up the right, or future right, to salary (commonly called salary sacrifice), or the right to some other form of cash remuneration in return for the benefit. They include flexible benefit packages with a cash option.

Where a benefit is chosen instead of some form of salary or pay, the taxable value of the benefit and the amount liable for National Insurance contributions is the greater of the amount of salary foregone and the taxable value of the benefit under the normal benefit in kind rules, ignoring any amount made good. Enter the amount foregone or relevant amount in the appropriate box.

The value of living accommodation is exempt from tax and Class 1A National Insurance contributions in some circumstances. If the value of the accommodation is exempt, do not return a cash equivalent figure on P11D.

The appropriate percentage for cars registered on or after 1 January 1998 depends on the carbon dioxide (CO2) emissions of the car and the type of fuel used. Read work out the appropriate percentage for company car benefits (480: appendix 2) for more information.

A small number of cars will not have an approved CO2 emissions figure. These will probably be rare or one-off models of cars, or cars imported from outside the UK or EU. Supplements and reductions for the type of fuel also apply to these cars if they were first registered after 1998.

If the car was unavailable for part of the year the car benefit charge for that car is reduced proportionately. Any payments by the director or employee which are required for private use and have been paid in 2023 to 2024 are then deducted.

Full details, including the separate rules for calculating the benefit of cars which run on alternative fuels and classic cars are explained in how to work out the benefit of a company car (480: chapter 12).

This covers the common rules on deciding the prices used for tax purposes, on how to find the approved CO2 emissions figure and how to decide the appropriate percentage. It also covers the special rules for disabled drivers.

The charge is reduced for periods when a van is unavailable. Any payments by a director or employee who are required to use the van for private use and have been paid in 2023 to 2024 are then deducted. If 2 or more directors or employees share private use of the van, the standard charge for each should be reduced on a just and reasonable basis.

If the employees sharing the van are members of the same family or household and one of them is in an excluded employment, the fact that the van is available to that person should be disregarded when making the sharing reduction to the benefit charge on the other employees.

Enter the number of joint borrowers that have shared the total cash equivalent in the box. The total amount of the loan is not affected by the number of joint borrowers. In all cases show the full amount of the loan.

A loan made by a person other than the employer may in some cases fall within the rules of Part 7A ITEPA 2003 on employment income provided through third party arrangements and PAYE will apply to these amounts.

Some employer provided services (whether on premises occupied by the employer or elsewhere) are exempt from charge where the private use of the service is not significant in the context of its use by the employee in performing their duties.

Some employer provided assets (whether on premises occupied by the employer or elsewhere) are exempt from the charge where the private use of the asset is not significant in the context of its use by the employee in performing their duties. Certain types of benefits, such as the use of vehicles (including boats and aeroplanes), are excluded from the exemption.

A beneficial bridging loan given to an employee as part of a relocation package will not qualify for relief under Section 271 ITEPA 2003. Some alternative relief may be due to the director or employee under Section 288 ITEPA 2003 if qualifying relocation expenses and benefits total less than 8,000.

Normally payments of expenses of a personal nature are taxable. However where such payments are made to employees staying away from home overnight on business, they are exempt as long as the travel that they relate to qualifies for relief and provided the amounts involved are within the prescribed limits.

If incidental expenses are made up of different elements (for instance, a cash payment and a benefit in kind) the different elements must be aggregated to decide whether the prescribed limits have been exceeded.

Enter details of expenses incurred in, or in connection with, the provision for the director or employee of any benefits or facilities of whatever nature not returned under any previous heading where the contract to provide the benefit was between you and the provider.

If you carry on a trade, business, profession or vocation and make payments to a director or employee exclusively for entertainment, the payments should be disallowed when working out your tax liability.

Enter any amounts that your employees should have paid, but you paid instead, in connection with a relocation, where the expense was not an exempt expense (not listed in relocation expenses (480: appendix 7)).

Enter details of expenses incurred in, or in connection with, the provision for the director or employee of any benefits or facilities of whatever their nature not returned under any previous heading.

They look fairly unofficial with just the following information included: employer name, employer PAYE reference, employee name, employee NI number, type of benefit, cost of benefit, amount made good, cash equivalent.

An employee's accountant is saying that they need the official P11D, but the above form is all I have. Am I missing something here? Is there any way to get a more official looking P11D form, should I already have this, or is this version usually acceptable? I'm not sure what to do if they do not accept the version I have.

I am guessing all they want is confirmation of box numbers and amounts if your printouts are not clear in that regard . If your printouts are clear ref box numbers and amounts it would make little sense that they are giving you grief.

This is what payroll software developers are told by HMRC that they must perfectly emulate (layout, fonts, pitch, etc) ... so is it not what HMRC themselves provide if data is entered via their own portal?!?

If my memory serves me correctly, I don't think there is a requirement to give anyone a copy of the P11D. The requirement is to give them the information that appears on it hence why HMRC's systems do that.

A P11D form is a document used by an employer to list any expenses or benefits given to directors or employees. It is submitted to HMRC yearly and includes items or services such as private healthcare, company cars or season ticket loans. The P11D form is designed to inform HMRC of any taxable benefits that must be included in your self assessment tax return. There may also be National Insurance contributions to me paid on them by your employer.

Form P11D is a document your employer uses to tell HMRC about the employment benefits you're getting. We're talking about the little extras you get in addition to your salary, like company cars or private medical cover. Not absolutely everything has to be declared, but the list of things that do is pretty long.

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