P11D
A form employers must submit to HMRC to report the cash equivalent of benefits in kind and expenses provided to employees and directors that are not put through payroll. Common P11D items include company cars, private medical insurance, and interest-free loans above £10,000. The P11D value of benefits is added to your taxable income, meaning you pay income tax on it, while the employer pays Class 1A National Insurance on the same amount.
Related Terms
PAYE
Pay As You Earn — the system by which employers deduct income tax and National Insurance directly from employees' wages before paying them, and remit the deductions to HMRC on their behalf.
Taxable Income
The portion of your total income that is actually subject to income tax after deducting the Personal Allowance and any other reliefs or deductions you are entitled to.
Tax Code
A code issued by HMRC to your employer to tell them how much income tax to deduct from your pay each period.