Important info on P11D and P11D(b) and Class 1A National Insurance contributions

HMRC has changed legislation to mandate the submission of P11D and P11D(b) returns online. Legislation has also changed to mandate the submission of any amended returns using a new electronic form

HMRC will no longer accept paper P11D and P11D(b) forms, this includes lists. The paper form will be rejected on the basis that it has not been submitted to HMRC in the correct way. The employer or agent will be notified of the rejection and directed to the correct process.

You will need to file any P11D returns on or before 6 July 2023, failure to do so may result in a penalty.

How to submit P11D and P11D(b)

You will need to use one of the following quick and easy online methods:

You must submit all your P11D and P11D(b) forms together in one online submission.

Read more information on expenses and benefits for employers.

What to file

If you paid any benefits or non-exempt expenses, or if you payrolled any benefits, you need to file a P11D(b). Include the total benefits liable to Class 1A National Insurance contributions, even if you taxed some or all of them through your employees’ pay.

The P11D(b) is used to report any employer’s Class 1A National Insurance contributions liability.

You will need to submit a P11D for each employee in receipt of benefits or non-exempt expenses, unless you registered with HMRC online before 6 April 2022 to tax them through your payroll.

If you did not register online but then went on to tax some or all benefits through your payroll, you must still submit a P11D online for all benefits that were not payrolled.

If you have not already registered online to payroll your company benefits, you may wish to do so now ahead of the 2024 to 2025 tax year. It will mean you no longer need to submit P11Ds if you can payroll all your benefits.

Since 6 April 2023 HMRC no longer accepts informal payrolling of benefits.

What to do if you did not pay any expenses or benefits

You only need to tell HMRC that you do not need to make a return if they sent you an electronic notice to file a P11D(b) or a reminder to file a P11D(b) letter. You can declare no return of Class 1A National Insurance contributions to HMRC.

How to file P11D and P11D(b) correctly

Some common mistakes to avoid:

  • do not put ‘6 April 2022’ in the start date or ‘5 April 2023’ in the end date for your company cars, unless they are genuinely the dates your employee received or returned a company car
  • your submissions of P11D and P11D(b) must be made together, you are unable to submit over several days and should only submit once you have completed all P11Ds and P11D(b)
  • when reporting a fully electric car, make sure you have included the approved CO2 emissions figure
  • when reporting a hybrid car with an approved CO2 emissions figure between 1 to 50, make sure you have included the approved zero emissions mileage
  • only send one P11D(b) for each scheme, showing the total amount due, do not send a separate one for employees and directors, as we treat each separate P11D(b) as an amendment to any we have previously received
  • check P11D(b) to see if you need to use the ‘adjustments’ section

Class 1A National Insurance contributions

You will need to tell HMRC about any Class 1A National Insurance contributions that you owe for the tax year ending 5 April 2023 by 6 July 2023 at the latest. Failure to do so may result in a penalty.
Any Class 1A National Insurance you owe must reach HMRC on or before 22 July 2023.

Use the right payment reference when paying Class 1A National Insurance contributions

  • Make sure your payment is correctly allocated by providing the correct payment reference.
  • Use your 13-character accounts office reference number, followed by 2313. The reference number should have no spaces between the characters.
  • Adding 2313 is important because 23 tells us the payment is for the tax year ended 5 April 2023, and 13 lets us know the payment is for Class 1A National Insurance contributions.
  • More information is available about how to pay employers’ Class 1A National Insurance.

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