This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

Benefit in Kind, Business Expenses

JRH0
Posts:2
Joined:Sun Feb 05, 2017 9:20 pm
Benefit in Kind, Business Expenses

Postby JRH0 » Sun Feb 05, 2017 9:25 pm

Hi folks,

I am sure this has been asked a thousand times and I did take a quick look but couldn't find anything that answered my exact query. Previously I worked for a smaller company who, rather than buy train tickers/accommodation etc for me in advance I was told to put everything through expenses. This included any day time meals etc we may have incurred as part of our working day, books etc.

All of the expenses submitted were in the course of work being undertaken for the company, however, it now looks like due to the way they have submitted the details I am liable on the tax for pretty much all of this as it has been classified as a benefit in kind. What can I do about this? It now looks set to cost me a fair amount of extra cash on stuff I've already paid for just to work for this company.

MichCat
Posts:39
Joined:Sat Dec 10, 2016 5:01 pm

Re: Benefit in Kind, Business Expenses

Postby MichCat » Mon Feb 06, 2017 12:17 am

Do you mean that the company has given you a P11d with your expenses shown under section N, if so, which sections?

Were all of the payments reimbursement of actual costs that you incurred, rather than round sum allowances?

JRH0
Posts:2
Joined:Sun Feb 05, 2017 9:20 pm

Re: Benefit in Kind, Business Expenses

Postby JRH0 » Mon Feb 06, 2017 10:17 am

Hi there,

All expenses were claimed with receipts for the exact amount spent (Except I suppose mileage which was claimed at the standard rate) it appears that my company submitted the P11D (I have not seen it although I am aware of the values) they have since told me to send a letter to HMRC stating that all of those claims were in the course of my working for the company (They sent the letter to me to send on) does that sound correct?

MichCat
Posts:39
Joined:Sat Dec 10, 2016 5:01 pm

Re: Benefit in Kind, Business Expenses

Postby MichCat » Mon Feb 06, 2017 3:54 pm

Hi there,

All expenses were claimed with receipts for the exact amount spent (Except I suppose mileage which was claimed at the standard rate) it appears that my company submitted the P11D (I have not seen it although I am aware of the values) they have since told me to send a letter to HMRC stating that all of those claims were in the course of my working for the company (They sent the letter to me to send on) does that sound correct?
Yes, it is correct. Your old company probably had a dispensation, meaning that they had permussion from HMRC not to report expenses on the P11d. From this current tax year, HMRC have done away with this requirement, so you will not need to do it going forward!

Google "section 336 claim" and you will probably find a standard template.


Return to “PAYE and Payroll Taxes, National Insurance, NICs”