When setting up an employer on BrightPay, you will be asked for the 'Benefit tax accounting method' - i.e. payrolling of benefits or P11D.
The benefit tax accounting method selected for the employer is used as a default when adding expenses or benefits to an employee record, however the method can be changed for employees where applicable.
The benefit tax accounting method can be viewed or amended any time by selecting Employer > Edit Employer Details > PAYE Registration
If payrolling benefits, the benefit will be included on the FPS for that employee and will inform HMRC of the benefit on a period by period basis. If using the P11D method, the P11D form should be filled in for each employee after the year end to inform HMRC of the type of benefit and cash equivalent totals.
Please note: to payroll benefits for tax year 2025/26, you need to have registered to payroll using this service by 5 April 2025. You won’t be able to register after this date for the 2025/26 tax year as HMRC can’t process changes mid-year
Unfortunately the P46 form is not available within the BrightPay software - the form can be completed on-line on the Government Gateway or a postal submission can be made to HMRC
PBIK and P11Ds will be available in the employee portal when the availability date is reached.
You can also provide a PBIK for employees who have had their benefits payrolled, by going to Employees > PBIK icon. They can be emailed, downloaded or printed as required - for one employee or multiple employees at the same time.
Similarly, a P11D can be provided by going to Employees > P11D icon. They can be emailed, downloaded or printed for one or more employees at the same time.
If an employee or director does not receive any or enough pay to cover the notional pay on the benefit then consider changing the tax method for the benefit to the P11D (after tax year end). HMRC will then make the necessary tax code adjustment in the following tax year.
Please note: there is no training or webinar available for payrolling benefits
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