Any benefits or expenses reported on a P11d by an employer will result in an additional cost for the company.
All employers are required by law to complete a P11d(b). The payroll department must add up the total benefits for everyone who has a benefit in kind and include it on the form. This must then be submitted to HMRC by 6th July, following the end of the relevant tax year. The employer has to pay 13.8% of the total benefits value to HMRC in respect of 2021/22 benefits. This rises to 15.05% in respect of 2022/23 benefits as the result of the social levy announcement in the former budget. This additional Employer cost is known as Class 1A National Insurance.