The forms P11D, and where appropriate P9D, which report employees and directors benefits and expenses for the year ended 5 April 2013, are due for submission to HMRC by 6 July 2013.

It can take some time to gather the necessary information, so it is important that this process is started well before the deadline.

Employees pay tax on benefits-in-kind as shown on the P11D, either through Self-Assessment or via a PAYE coding notice adjustment. In addition, the employer has to pay Class 1A National Insurance Contributions at 13.8% on the provision of most benefits.

HMRC have issued some guidance as to common errors on the forms in the latest Employer Bulletin (see link below).

Correct P11D completion is complex. If you would like any help with the forms P11D or the calculation of the associated Class 1A National Insurance liability please get in touch.

Links:

HMRC:                          http://www.hmrc.gov.uk/paye/exb/index.htm

Employer Bulletin:       http://www.hmrc.gov.uk/payerti/forms-updates/employer-bulletin/bulletin44.pdf