Benefits in Kind
HMRC have produced an Expenses and Benefits Toolkit which you may find useful. This provides information on vehicles, travel, subsistence and entertainment, personal bills and the use or transfer of assets.
The toolkit can be found here.
Remember: P11D Benefits and Expenses need to be sent to HMRC by 6th July 2019.
HMRC Personal Tax Accounts
Did you know, you and your employees can set up an online Personal Tax Account with HMRC
(also available as a mobile app!).
You can use your personal tax account to:
- check your Income Tax estimate and tax code
- fill in, send and view a personal tax return
- claim a tax refund
- check and manage your tax credits
- check your State Pension
- track tax forms that you’ve submitted online
- check or update your Marriage Allowance
- tell HMRC about a change of address
- check or update benefits you get from work, for example company car details and medical insurance
- find your National Insurance Number
Welsh Tax Codes
Welsh rates of Income Tax came into operation from 6 April 2019. Tax codes for taxpayers living in Wales now begin with ‘C’.
Throwing a Party for your Employees?
A party for employees is exempt from tax if it:
- happens once a year on a recurring basis (i.e. a Christmas party or a summer bbq – not a 25th anniversary party)
- is open to all employees
- does not exceed £150 per head
Two or more functions?
If you provide two or more annual parties or functions, there is no tax to pay in respect of the parties if the total cost per head does not exceed £150. If the party/parties cost more than £150 a head, it is taxable in full, not just the excess over £150. To get the cost per head, divide the total cost of each party by the total number of people (including non-employees)
Note: the cost of the party/parties includes VAT, the cost of transport and overnight accommodation, if provided, to enable employees to attend
Do you have employees earning over £50,000?
They may have to pay a tax charge, known as the High Income Child Benefit Charge if they or their partner get Child Benefit.
Telling your employees about the High Income Child Benefit Charge may help them to understand their obligations and avoid facing a penalty.
They can use the Child Benefit Tax Calculator to check if they or their partner needs to pay the charge.
Note: When calculating their earnings they should include any taxable benefits like medical insurance, company car or accommodation in their income.
Tax Free Childcare
There’s a simple step by step guide that parents can use if they want to apply for Tax-Free Childcare at