P11D Deadline Approaching: What Employers Must Do Before July 6 to Avoid Fines

With a deadline of July 6, employers in the UK are being reminded of their employee benefits reporting obligations or face potentially severe penalties. The P11D and P11D(b) forms are used to report on taxable benefits provided to employees, such as a company car or health or travel expenses.

HM Revenue and Customs (HMRC) specifies that both forms must be filed by July 6, 2025, for the previous tax year ending April 5, 2025. Employers also have to pay any Class 1A National Insurance Contributions (NICs) on these benefits by July 22 (if paid online) or July 19 (by post).

What Employers Need to Do

To avoid penalties

1. File a P11D for each employee with non-payroll benefits.

2. File a P11D(b) to report the total Class 1A NIC liability.

3. If HMRC has asked you to file a P11D(b) and you do not owe any NICs, file a nil return instead.

4. Do not miss the filing deadlines. If you do, each late form can incur an initial GBP 300 penalty, and with each day you remain outstanding, an additional GBP 60 penalty applies. For the P11D(b), the penalty is GBP 100 per 50 employees (so if you have 100 employees, it’s GBP 200 per month overdue).

Finally, even if the benefits are all accounted for within your payroll process, you must still file a P11D(b) if Class 1A NIC applies.