I just realised that 100% business expenses incurred by the employee and then reimbursed by the employer are supposed to be reported on a P11D form (and there may be payments due to HMRC etc).
What I’m wondering is, if the expenses were incurred by a director could they be considered a loan, which the company periodically reimburses? Would this mean no need to report on a P11D? Or would a P11D still be necessary?
I’ve read another thread which explains that ideally all business expenses should come from the company’s own bank account/card, which I know is the ideal way to do it. What I’m asking about is how director’s loan accounts are treated with respect to expenses and P11Ds?
Yes, that’s helpful, however it does leave me a bit more confused because it suggests that HMRC will ask for a P11D which makes me wonder if I don’t need to file one if they don’t ask…
If the employee is paying for expenses incurred in the course of business, such as travel expenses, buying office supplies, etc. and the company is simply reimbursing them for the cost incurred, then there is no requirement to report them on a P11D.
