P11D's: What are they and do I need one?

Company cars, private medical, overdrawn directors loan account…..

If any of these sound familiar and are things provided to your employees, or provided to you by your employer, then you should be preparing a P11D.

P11D’s are an annual form that is submitted to HMRC by 6th July for any employee receiving company benefits.

The form works out the value of the benefit being supplied to the employee and calculates the Class 1A National insurance that the company must pay to HMRC for providing the employee with those benefits. This must be paid by the 22nd July.

The employee will pay income tax on the value of the benefit, either as part of their self assessment tax return, if they prepare one, or by HMRC adjusting their tax code.