Specialist Tax News

Form P11d common errors

In many cases we of course fill in the dreaded P11Ds for you, but for those who do it themselves you should take a quick look at what HMRC reckon is a list of common errors which can cause problems. We will be pleased to run through them with you as they have just been published.

A problem not mentioned by HMRC, as it does not directly relate to the main form, involves form P11D(b) which is used to declare the Class 1A national insurance contributions payable by the employer on some benefits received by employees. The problem is that if the Class 1A payment arrives before the P11D(b) return has been recorded, the payment made may be automatically reallocated to the current tax year 2012/13 rather than to the tax year 2011/12 covered by form P11D(b). To avoid this, the return should be submitted by the due date of 6 July at the latest but payment should be made after this, so that any electronic payment clears by 22 July (or is received by 19 July if paid by cheque). Strange, but it could well avoid a fair amount of hassle for you.

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