Deadline looms for 'tedious' P11Ds
SME bosses relaxing on the beach could be fined £3,000 if they miss this week's P11D deadline, mid-tier firm PKF has warned.
The Inland Revenues’ yearly employee expenses forms, known as P11Ds, have to be completed by 6 July to avoid penalties of as much as £3,000. Late forms attract a penalty of £300, with an additional daily penalty of £60.
Tax partner at PKF Sheena Sullivan said: ‘Businesses need to ensure that they have cast-iron recording and reporting systems in place so that they don’t get burnt.
‘Self assessment placed the burden of calculating benefit values on the employer and, more recently, employer’s Class 1A National Insurance liability has been extended to most types of benefit,’ Sullivan added.
A recent survey showed that one third of employers were not fully conversant with the latest PAYE regulations and 34% regarded managing the records required for the annual P11D return as ‘tedious and time consuming’.