Best Accountants in Gosport

New post: What is a P11D? One of the least well-known accounting and tax questions is what is a P11D. This is a form that employers use to report certain non PAYE expenses during the tax year. This can include benefits such as railcards and childcare as well as the traditional company car. _BENEFITS IN KIND ARE ADDITIONAL ITEMS OR SERVICES THAT AN EMPLOYEE RECEIVES FROM THEIR EMPLOYER, IN ADDITION TO OR IN LIEU OF THEIR SALARY. EXAMPLES INCLUDE COMPANY CARS, PRIVATE HEALTH INSURANCE, AND RAIL SEASON TICKETS._ _AS AN EMPLOYER, YOU MUST COMPLETE A P11D FORM FOR EACH EMPLOYEE WHO RECEIVES BENEFITS IN KIND. THE FORM HAS TO BE SUBMITTED TO HMRC BY THE END OF THE TAX YEAR AND PAYMENT MADE SHORTLY AFTER._ _EMPLOYEES SHOULD ALSO RECEIVE A COPY OF THEIR P11D FORM FROM THEIR EMPLOYER, HIGHLIGHTING THE BENEFITS IN KIND THAT HAVE BEEN SUBMITTED TO HMRC._ _BENEFITS IN KIND ARE COUNTED AS TAXABLE INCOME. THIS MEANS THAT YOU WILL NEED TO PAY INCOME TAX ON THE VALUE OF THE ASSETS YOU RECEIVE. THE AMOUNT OF TAX YOU PAY WILL DEPEND ON YOUR INCOME AND YOUR TAX RATE AND THE TYPE OF BENEFIT._ _EMPLOYERS PAY NATIONAL INSURANCE CONTRIBUTIONS ON TAXABLE BENEFITS. FAILURE TO SUBMIT A P11D FORM ON TIME AND PAY THE TAX OWED CAN END IN A SUBSTANTIAL FINE._ WHAT IS A P11D FORM AND WHO IS RESPONSIBLE FOR SUBMITTING IT? If an employee receives a benefit (for example, a financial bonus) via their normal pay then it will be dealt with through the normal PAYE system and taxed accordingly. Many ...