A P11D is the form UK employers send HMRC after the tax year to report taxable expenses and benefits in kind given to an employee, such as a company car, health insurance or an interest-free loan. GOV.UK says P11Ds are due by 6 July, along with the P11D(b) that reports the Class 1A National Insurance owed.
If you only pay salaries, you'll never need one. The moment you add a perk with a cash value, you either report it on a P11D after the year ends or tax it through payroll as you go, and the choice changes your paperwork.
What counts as an expense or benefit
GOV.UK's examples include company cars, health insurance, travel and entertainment expenses and childcare. Each type is calculated differently, and GOV.UK has separate guidance per benefit for what you report and pay. For minor items, you may be able to make a one-off payment instead under a PAYE Settlement Agreement. Mileage is its own topic; my guide to the HMRC mileage allowance covers what you can pay tax-free.
P11D or payrolling: the two routes
| Payrolling benefits | Reporting on a P11D | |
|---|---|---|
| When tax is paid | Through payroll during the year | After the tax year ends |
| P11D for each employee | Not needed if all their benefits are payrolled | One for each employee with non-payrolled taxable benefits |
| P11D(b) for Class 1A National Insurance | Still required | Required |
| Paper forms | Not accepted | Only if you've stopped trading |
GOV.UK says HMRC stopped accepting informal payrolling and paper P11Ds from 6 April 2023, so either route runs online. HMRC updated its payrolling guidance on 6 April 2026 with changes to the rules on reporting benefits and expenses, so check that page before your next tax year starts if you're thinking of switching.
The P11D deadlines
| What | Deadline after the end of the tax year |
|---|---|
| Report expenses and benefits (P11D) | 6 July |
| Give employees a copy of the information | 6 July |
| Report total Class 1A National Insurance (P11D(b)) | 6 July |
| Pay Class 1A National Insurance | 22 July (19 July if paying by cheque) |
| Pay tax and Class 1B National Insurance under a PAYE Settlement Agreement | 22 October (19 October if paying by cheque) |
| Payrolled benefits: PAYE tax and Class 1 National Insurance | Monthly through payroll |
The penalty that grows with your headcount
As of October 2026, GOV.UK says a late P11D(b) costs £100 per 50 employees for each month or part month it's late, plus penalties and interest if you pay HMRC late. It's a penalty on the summary form, not the individual P11Ds, so even a business that payrolls every benefit can be caught by it.
How to file
- Fewer than 500 employees: submit the P11D and P11D(b) through HMRC's PAYE Online service.
- More than 500 employees: submit them through your payroll software.
- Stopped trading: that's the only case where GOV.UK says HMRC will accept paper forms.
- Give each employee a copy of what you reported for them by 6 July.
Check whether your UK payroll software can payroll benefits or produce P11Ds before you choose a route.
Records you must keep
GOV.UK says you must keep a record of every expense and benefit you provide, detailed enough to show you reported accurately and your end-of-year forms are right. HMRC may ask for evidence of how you accounted for each one. Keep:
- the date and details of every expense or benefit
- any information you used to work out the figures on your end-of-year forms
- any contribution the employee made towards an expense or benefit
- your correspondence with HMRC
Keep the records for 3 years from the end of the tax year they relate to. GOV.UK's own example: if you reimburse an employee's travel, record when and why they travelled and, where possible, keep the receipts.
A quick P11D checklist for small employers
- List every perk you give anyone on payroll, including directors.
- Check GOV.UK's guidance for each type to see whether it's taxable and how it's valued.
- Decide whether to payroll it or report it on a P11D, before the tax year starts.
- Diary 6 July for the P11D(b) and 22 July for Class 1A payment.
- Give each employee their copy by 6 July.
For employees: what a P11D means for you
Your employer reports the benefit and HMRC adjusts your tax, often through your tax code. If your employer payrolls benefits, they'll write to explain how it works and you won't get a P11D. You can ask your employer for a record of what they reported, including how much each benefit is worth, and if they can't give you one, you can contact HMRC.
My verdict
If you give staff any perk beyond salary, decide before 6 April whether you'll payroll it or report it on P11Ds, and diary 6 July and 22 July either way. Payrolling spreads the tax and removes most of the year-end form-filling, but the P11D(b) and its penalty never go away, so don't let that one slip.
Employees who receive benefits still get a summary of tax already taken, and our guide to the year-end tax summary explains it.
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Frequently asked questions
When is the P11D deadline?
P11Ds and the P11D(b) are due by 6 July after the end of the tax year, and Class 1A National Insurance must be paid by 22 July, or 19 July by cheque.
What is a P11D(b)?
The form employers use to report the total Class 1A National Insurance owed on expenses and benefits. It's needed even if all benefits are payrolled.
Do I need a P11D if I payroll benefits?
Not for an employee whose expenses and benefits are all payrolled, but you must still submit a P11D(b).
What is the penalty for a late P11D(b)?
As of October 2026, GOV.UK says it's £100 per 50 employees for each month or part month it's late.
Can I submit a paper P11D?
Only if you've stopped trading. HMRC stopped accepting paper P11Ds from 6 April 2023.
How long must employers keep P11D records?
GOV.UK says for 3 years from the end of the tax year they relate to, including details of each benefit and any employee contributions.
Do employees get a copy of their P11D information?
Yes. GOV.UK says employers must give employees a copy of the information by 6 July.
Which benefits go on a P11D?
Taxable expenses and benefits that aren't payrolled, such as company cars, health insurance, travel and entertainment expenses and childcare.
How do I see what my employer reported on my P11D?
Ask your employer for a record of what they reported. If they can't provide one, contact HMRC.
