WHAT IS A P11D?

P11D is a form that HMRC requires all employers to complete. It details the cash equivalent values of all benefits and expenses that have been supplied during the tax year. The P11D value of a car is the start point to calculating company car tax.

One of the benefits that must be included is the provision of a company car that is available for private use (this includes travel to and from a permanent place of work). This is important whether you’re a Fleet Manager or a Company Car Driver.

For fleet managers, P11D is used to determine Class 1A National Insurance Contributions, which is the amount that your company has to pay on the employee benefit provided and an important element of the Whole Life Cost calculation for a car.

For Company Car Drivers, P11D is used to determine the Benefit-in-Kind Tax liability of a vehicle.

The P11D value of a car is extremely important in determining the costs of operating a company car, that’s why Vauxhall have created a range of fleet cars with low P11D values to minimise the expense associated with running a company car or fleet. Explore the Vauxhall business models for yourself.