27 June 2023
The June 2023 edition of the HMRC Employer Bulletin includes reminders about key filing, application and payment deadlines. There is also information about the Apprenticeships Care Leavers’ Bursary and the new online service HMRC have launched. Below, we summarise some key points from the bulletin.
P11D and P11D(b) filing and payment deadlines
HMRC has changed legislation to mandate the submission of P11D and P11D(b) returns online. They will no longer accept paper P11D and P11D(b) forms.
You will need to tell HMRC about any Class 1A National Insurance contributions you owe for the tax year ending 5 April 2023 by 6 July 2023 at the latest. You will also need to file P11D returns on or before 6 July 2023. Failure to do so may result in a penalty. Any Class 1A National Insurance you owe must reach them on or before 22 July 2023.
How to file P11D and P11D(b) correctly
Below are common mistakes to avoid:
- do not put ‘6 April 2022’ in the start date or ‘5 April 2023’ in the end date for your company cars, unless they are genuinely the dates your employee received or returned a company car;
- your submissions of P11D and P11D(b) must be made together, you are unable to submit over several days and should only submit once you have completed all P11Ds and P11D(b);
- when reporting a fully electric car, make sure you include the approved CO2 emissions figure;
- when reporting a hybrid car with an approved CO2 emissions figure between 1 to 50, make sure you include the approved zero emissions mileage;
- only send one P11D(b) for each scheme, showing the total amount due, do not send a separate one for employees and directors, as we treat each separate P11D(b) as an amendment to any we have previously received; and
- check P11D(b) to see if you need to use the ‘adjustments’ section.
PAYE Settlement Agreement (PSA) deadline and digital services
The deadline for applying for a PAYE Settlement Agreement (PSA) is on or before 5 July 2023. You can use HMRC’s online service to apply.
Easier access to online employer services
HMRC have launched an online service that will help employers answer queries quicker. If you call HMRC about a routine query that can be resolved simply through our digital services, you will be sent a text message directing you online without the need to speak to an advisor.
Payment increase to the apprenticeships care leavers’ bursary
The Department for Education has announced that the bursary available to care leavers, aged 16 to 24, undertaking apprenticeships will increase from the current payment rate of £1,000 to £3,000. The bursary is available to individuals who have been in the care of a local authority anywhere in the UK, as long as the apprenticeship they enter into is based in England.
National Cyber Security Centre helps businesses tackle cyber crime risks
The National Cyber Security Centre (NCSC) has launched a cyber action plan for small businesses and a tool that helps them scan their IT systems for vulnerabilities.
Employment related securities — end of year return deadline for employee share schemes
Gifts and awards of shares in companies, often known as employment related securities (ERS), are commonly used by employers to reward, retain or provide incentives to employees.
If you operate an ERS scheme you must file an end of year ERS return, including nil returns. You must do this for every scheme that is registered on the ERS online service against your PAYE scheme. For the 2022 to 2023 tax year, you must submit an end of year ERS return (on or before) 6 July 2023.
Electronic payment deadline falls on a weekend
In July 2023, the electronic payment deadline of the 22nd falls on a Saturday. To make sure your payment for that month reaches HMRC on time, you need to have funds cleared into HMRC’s account on or before 21 July 2023, unless you are able to arrange a Faster Payment.
Preparing for the new tax year basis — Income Tax Self Assessment
The rules HMRC uses to calculate sole traders’ and partners’ profits for Income Tax in a Self Assessment return are changing for many businesses for the tax year 2023 to 2024 onwards. This change may affect the return that taxpayers must submit on or before 31 January 2025 and subsequent returns.
Making Child Benefit claims quicker and easier for new parents
If you have employees who are about to become parents, they may be interested to know there is a new, easier way to claim Child Benefit online or using the HMRC app.
The full bulletin covers other topics and provides more detail on those covered here.
Please contact Steve Sweetlove if you have any questions or concerns.