![71388](https://www.taxation.co.uk/images/default-source/woodwing/71388.png?sfvrsn=79484932_2)
Key points
- HMRC now requests employers to report benefits in kind on individual P11D forms or P11D lists as digital submissions or through ‘payrolling’.
- Payrolling in its current form is not appropriate for all employers but has many benefits over ‘legacy’ processes.
- Payrolling allows for income tax due on a benefit to be collected and paid through real time information.
- There is a mistaken perception by employers and employees that payrolling poses a risk of double taxation of the benefit.
- Employers need to register for payrolling before 6 April 2022 for it to apply for the 2022-23 tax year.
- Employers must check with their payroll providers that their software is suitable for payrolling.
From my time as a ‘Schedule E compliance officer’ back in the days of the Inland Revenue the P11D form (and the now forgotten P9D form) have held a special place in my heart. Looking back...
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.