Paroling expenses & Benefits

Having done a webinar with HMRC today,still slightly confused regarding what figures you use when staring to PBIK at the beginning of the new tax year after registration. Do you use the P11d figures from the previous tax year going forward and just don’t submit p11d only submit the p11 d(b) ? Much advice would be welcomed.

Hi ,
 

When starting payrolling benefits you are payrolling for the current year therefore you would look at the cost of the benefit for the same tax year divide it by 12 and add that to the monthly salary. The tax from the P11D will be taken from the tax code. For the 1st year it may seem the employee is paying tax twice. This is not the case as the tax code amount is for the previous tax year and the payrolling benefit is tax for the current year. Thank you .