Reply to: P11D Avoidance Question

[Podgy]

Yeabut it should have taken more than a millisecond.



Yes, P11D is required and you must declare accommodation and subsistence expenses (whether or not paid for directly by the company), even if there is no tax charge.

Yep - I can add-up real quick

[Contreras]

It took the OP a millisecond. Not only has he saved himself accountancy fees, but he's saved himself a fortune in tax, because - and we should all note this - his company car is effectively not available for private use. They is the key.

Yeabut it should have taken more than a millisecond.

Accommodation (hotels / flat lease / bills)
Company car / petrol
Business Lunch/s etc

I'm not actually claiming anything back from the company & everything is for business use only - do I still need to complete the P11D?

Yes, P11D is required and you must declare accommodation and subsistence expenses (whether or not paid for directly by the company), even if there is no tax charge.

[Old Greg]

He was being sarcastic....

Don't judge others by your own standards.

It took the OP a millisecond. Not only has he saved himself accountancy fees, but he's saved himself a fortune in tax, because - and we should all note this - his company car is effectively not available for private use. They is the key.

[Higgs Boson]

That is probably wise, you won't like what he says about the car amongst other things. Better to stay in the dark and at risk than do the right thing. Right on brother...

Post of the month so far.

[northernladuk]

Hear hear - I dont know why some people on this site are so arrogant & rude - its not necessary.

Anyway I've done the P11d which took a milisecond.

He was being sarcastic....

[Podgy]

<cough> http://forums.contractoruk.com/busin...al-forums.html

The OP is simply trying to run a business, and we should offer our expert advice in a mature and collegiate manner.

Hear hear - I dont know why some people on this site are so arrogant & rude - its not necessary.

Anyway I've done the P11d which took a milisecond.

[Old Greg]

ftfy

<cough> http://forums.contractoruk.com/busin...al-forums.html

The OP is simply trying to run a business, and we should offer our expert advice in a mature and collegiate manner.

[cojak]

Has'nt cost me anything yet - just waiting for the knock on the door now that HMRC knows what I've been asking and where I live.

ftfy

[Mister Clark]

Has'nt cost me anything - just a learning curve.

Thought thats what message boards were for!

Is that right?
Let us know how much the BIK is on your company car once you've worked it out.

[Old Greg]

They are not a replacement for doing it properly bearing in mind it is your neck that is on the line and could end up costing you more than you have.

But won't these threads be usable as evidence in court to demonstrate due diligence and absence of mens rea?

[northernladuk]

Has'nt cost me anything - just a learning curve.

Thought thats what message boards were for!

They are not a replacement for doing it properly bearing in mind it is your neck that is on the line and could end up costing you more than you have.

[Podgy]

What part of 'get an accountant' don't you understand?

You think you're going to save money by not paying for one but you've probably already cost yourself more money than you stand to save.

Do yourself a favor, listen to the half dozen people who know more that you about the financial side of contracting than you and get an accountant rather than trying to get it for free by asking questions of strangers of a message board.

Has'nt cost me anything - just a learning curve.

Thought thats what message boards were for!

[Mister Clark]

What part of 'get an accountant' don't you understand?

You think you're going to save money by not paying for one but you've probably already cost yourself more money than you stand to save.

Do yourself a favor, listen to the half dozen people who know more that you about the financial side of contracting than you and get an accountant rather than trying to get it for free by asking questions of strangers of a message board.

[Podgy]

Hi, The way they are reported is on the P11d.

As Alan says, the company needed to submit a P11d. If a benefit in kind is being provided, the company needed to pay Class 1A National insurance on that beneift to HMRC. The P11d is the document that informs them of this amount.

So while it is enough for the Director to include the benefits on his self assessment, the employer still needs to report such benefits and pay the Class 1A NIC.

But the 'benefit' is used exclusively for business (or in this case was not actually being used at all as the director was out of the country) but theoretically it is 'available' as it was at the business premises. The mileage (or lack of) confirms this.

Are you saying that even though the company is dormant, the director is out of the country, & does not receive a salary - the company must tell HMRC that the director has company car benefit on a P11D form so therefore must operate a payroll purely to submit a form where no contributions are due?

[Nathan SJD Accountancy]

Hi, The way they are reported is on the P11d.

As Alan says, the company needed to submit a P11d. If a benefit in kind is being provided, the company needed to pay Class 1A National insurance on that beneift to HMRC. The P11d is the document that informs them of this amount.

So while it is enough for the Director to include the benefits on his self assessment, the employer still needs to report such benefits and pay the Class 1A NIC.