P11D Healthcare Cash Plan

Lisa1978

Hi All, 

I have 2 queries regarding P11D completion that i would appreciate your assistance with as i've been holding with HMRC for 35mins and no response. 

1 - Our company provided everyone with a Tesco voucher in December to help with the cost of living. 
This would seem to be a trivial benefit and therefore doesn't need recording on the P11d? 

2 - They also provided everyone with a Medicash Health Plan.  I'm thinking although this is only £49 per person a year that it still needs included as its medical or does it fall into the trivial benefits due to the value being under £50? 

Thank you 

Jeremy535897

If the Tesco voucher was not exchangeable for cash, it is likely to be within the trivial benefits rules in EIM 21864:
https://www.gov.uk/government/publications/tax-exemption-for-trivial-benefits-in-kind-draft-guidance/tax-exemption-for-trivial-benefits-in-kind-draft-guidance#eim-21864

The Medicash benefit is more difficult, as it may be part of the employee package and a contractual obligation may exist for the employer to provide it. Have a look at the link above and the further links within it. Has your employer said whether or not these benefits are taxable?

Dazed_and_C0nfused

@Jeremy535897 I think the op may be the person responsible for completing the P11D 🤔

Lisa1978

Jeremy535897 said:

If the Tesco voucher was not exchangeable for cash, it is likely to be within the trivial benefits rules in EIM 21864:
https://www.gov.uk/government/publications/tax-exemption-for-trivial-benefits-in-kind-draft-guidance/tax-exemption-for-trivial-benefits-in-kind-draft-guidance#eim-21864

The Medicash benefit is more difficult, as it may be part of the employee package and a contractual obligation may exist for the employer to provide it. Have a look at the link above and the further links within it. Has your employer said whether or not these benefits are taxable?

Thank you for your reply.  No it was not exchangeable for cash and i agree its within the trival benefits rules. 
The medicash is more difficult and something that we've only just taken on for our employees.  The cost to the company is £49 per head and free to the employee but it is not written into our contracts that we are entitled to it. 
Unfortunately the employer just went ahead with signing up to Medicash without discussing it with the rest of us in the finance section. 

Jeremy535897

Given that Medicash make a big deal about the starting figure of £49 a year, have you tried asking them? Can HR tell you whether it is in the employees' contracts?

I think the big problem is likely to be that this seems to be a cash back offering.