P11D Deadline reminder for employers

The deadline for P11D, P11D(b) and P9D is 6 July 2011 and if you miss the deadline you may receive a penalty. You also need to ensure payment of the Class 1A NICs declared on form P11d(b) is received by HMRC by 22 July, or by 19 July if you pay by cheque.

P11D is a statutory form required by HMRC from employers detailing the cash equivalents of benefits and expenses that they have provided during the tax year to their directors, and employees earning at the rate of more than £8,500 per year. Form P9D is for employees earning less than the £8,500 rate.

Class 1A National Insurance is due on the value of all these benefits at a rate of 12.8%

Some examples of benefits you may provide are as follows:

• Company car

• Fuel provided by company

• Private use of company credit card

• Mileage allowance paid (if no dispensation is in place)

• Company vans

• Interest free/low interest loans greater than £5,000

• Private medical/insurance payments

• Services supplied to the employee

• Subscriptions/professional fees paid

As an employer you are responsible for preparing and submitting the P11D. You must make sure that you give your employees a copy of their P11D or P9D form.

If you have already advised HM Revenue and Customs that you don’t need to complete a P11D, P11D(b) or P{9D, then you don’t need to take an further action.

For more information on completing P11D, P11D(b) and P9D forms please contact us here at M.B. McGrady & Co.