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Class 1a NI on leavers ?

Please do anyone know if  Class 1a NI is payable on employees who left the company before the end of the tax year. We have 5 employee who left the company before the end of the tax year. When calculating class 1a NI payment for non-cash benefit receive by this employee, should I include the benefits recieved by the 5 employees that have left the company and already issue P45 during the tax year ?

I look forward to comments.

Thanks,

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23rd Apr 2012 11:18

Yes

Class 1A NIC is payable in respect of BIKs given at any time during the tax year.  It is irrelevant that the employee may have left later in the year.

Thanks (1)
23rd Apr 2012 11:24

Don't forget the need to do P11Ds

The employer will need to submit a P11D for every P11D employee with benefits and non-dispensed expenses at any time in the year.  The only year-end form you don't need for leavers is the P60.  Summarising the P11Ds will give you the Class 1A basis number, provided the employees were all within the scope of UK NIC rather than expats who were liable to social security taxes elsewhere.

Thanks (1)