As the 2025/26 tax year ended on 5 April 2026, employers who have provided taxable expenses or benefits to employees or directors need to ensure they meet their year‑end reporting obligations to HM Revenue & Customs (HMRC).
For most employers, this means completing forms P11D and P11D(b) and paying any associated Class 1A National Insurance Contributions (NIC) by the relevant deadlines.
What is a P11D?
A P11D form is used to report taxable expenses and benefits‑in‑kind provided to employees or directors during the tax year which have not been dealt with through payroll.
Common benefits that need to be reported include:
- Company cars and fuel
- Private medical insurance
- Beneficial or interest‑free loans
- Living accommodation
- Gym memberships
- Certain reimbursed expenses
- Assets provided for private use
A separate P11D must be completed for each employee or director receiving reportable benefits.
Key deadlines
Employers should be aware of the following statutory deadlines:
- 6 July 2026
- Submit forms P11D and P11D(b) to HMRC
- Provide employees with a copy of their P11D
- 22 July 2026 (or 19 July 2026 if paying by cheque)
- Pay Class 1A National Insurance Contributions
Missing these deadlines can result in automatic penalties and interest being charged by HMRC.
What if benefits are payrolled?
Where benefits have been voluntarily payrolled during the 2025/26 tax year, individual P11D forms are not required for those benefits, however a P11D(b) is still required to be submitted by the employer to declare and pay Class 1A NIC
Not all benefits can be payrolled presently. Looking ahead, the Government has confirmed that most benefits‑in‑kind must be reported through payroll from 6th April 2027, bringing an end to the P11D process for most employers.
Penalties for late or incorrect submissions
HMRC can charge:
- £100 per 50 employees for each month (or part month) a P11D(b) is late
- Additional penalties for incorrect or incomplete returns
- Interest and late payment penalties on unpaid Class 1A NIC
Penalties apply even where there is no tax liability but forms are submitted late.
How we can help
Preparing P11Ds can be time‑consuming, particularly where benefits have changed, staff have joined or left, or where valuations are complex.
We can assist with:
- Reviewing which benefits are reportable
- Preparing P11D and P11D(b) forms
- Calculating Class 1A NIC
- Advising on voluntary payrolling and future changes
If you would like support with your 2025/26 P11D reporting, please contact us.
A member of our Tax team will be happy to have a chat if anything needs clarification – please call 01242 776000 or email Tax@randall-payne.co.uk.