In this article
Section M is a more general section on the P11D for items not entered elsewhere. Examples of advantages that are often seen in this category include (this is not a comprehensive list, simply common examples):
- Professional subscriptions - where they are not on HMRC's list 3, which is their list of approved organisations - Approved professional organisations and learned societies (list 3) -GOV.UK(www.gov.uk)
This includes initial and annual subscriptions to clubs for leisure or sporting activities, and so on.
- Company fuel cards provided without a company car.
- Nursery Places that are not already exempt.
- Educational assistance – does not include work-related training.
- The cost of school fees or other educational expenses relating to a director, employee, family, or household. The value of any scholarships awarded to the director, employee or members of his family, or household members should also be shown.
- Non-qualifying relocation benefits paid late outside of the time limits for exemption.
This section contains two boxes - one brown and the other blue. To determine if Class 1A National Insurance is payable, you need to ascertain whether the contract for the supply of these services is made with the employer or the employee.
If the contract is with the employer, enter these items in the box for Class 1A Items.
If the contract is with the employee, enter such items in the box for non-Class 1A Items. In these situations, Class 1 NIC will also be due.
There is also a final box for an anti-avoidance measure, where an employer should return details of any income tax paid but not deducted from a director's remuneration.
Please note – This guideline is not exhaustive, and it does not cover every eventuality. Its main focus is on the most typical scenarios that usually happen in reality. It's important to be aware of other possibilities as well. If you need more detailed information, please refer to the HMRC website. Always consult a tax advisor if you have any doubts or queries.