Anyone work in a payroll department?

Legacy_user

Whilst I know a fair amount about taxes I'm not 100% on operating payroll.

DD left her job recently and a P45 was sent to her. However the ex-employer sent her all 4 parts and marked the part 1 with a D indicating that she is dead.

She's not dead and we had hoped that the only good thing about the full P45 being sent to her was that hopefully that meant nothing was sent to HMRC. However today we received an R27 http://www.hmrc.gov.uk/forms/r27.pdf to complete on her behalf as her personal representatives. We have, of course, contacted HMRC to correct her record.

Can anyone tell me is it normal for an employer to send 1 fully completed P45 to the family of a deceased person and another to HMRC?

Debt_Free_Chick

You should get parts 1A, 2 & 3

Part 1 goes to HMRC, although it can be filed online instead.

Vancat

What a horrible mistake...hope your daughter complains!
When an employee had died, I always sent all 4 parts to HMRC, marking a D in the box, for "deceased".
As the ex employer sent all 4 parts to your daughter, I can't understand how HMRC would have been notified of the "death" to have been able to send R27?
Very odd! (Seems like their payroll dept could do with some help.....as a job-seeking recently redundant Payroll Manager...wonder if they have any vacancies!!!;) )
VC

System

They sent the part 1 along with the rest, that's why I thought HMRC would not know.
It even says at the bottom that it should be completed with care and in the case of a deceased employee all four parts had to be sent to HMRC immediately.
I would have thought that would mean nothing would be sent to the family or, as in my daughters case, to her:eek: . I'm wondering if they filed online as well as sending the paper one to her

Vancat

If they'd filed online, they wouldn't need to produce or send a paper copy to anyone. I would imagine a real bereaved family being very upset to receive a P45 for a deceased person. I always found it hard enough finding out who the personal representative of the estate was, and then sending the deceased's final payment.....it was very sad.
VC

Mikeyorks

Noting a P45 with a 'D' - in error - isn't easy to do? Sending the P45 in entirety, to the employee, is even more difficult.

Sending an entire P45 and annotated with a 'D' ..... direct to an employee - smacks of malice rather than just idiocy. If there's any adverse history to her leaving the company ..... I'd be looking at loading both barrels?

System

Mikeyorks wrote: »

Noting a P45 with a 'D' - in error - isn't easy to do? Sending the P45 in entirety, to the employee, is even more difficult.

Sending an entire P45 and annotated with a 'D' ..... direct to an employee - smacks of malice rather than just idiocy. If there's any adverse history to her leaving the company ..... I'd be looking at loading both barrels?

There's no adverse history that we know of. She only worked for them for 6 weeks.

DD was in the very fortunate position of being successfull at interview and being offered 3 jobs after she dropped out of uni. She took that job to sign off the dole whilst she waited for confirmation of the start date of her current job which was her preferred choice. I think it's just negligence.

Our main worry was that HMRC would set the deceased signal against DD's PAYE record as I understand that's difficult to remove and could mean HMRC would have to set up a new record for DD. In this instance I think we caught it in time to avoid that happening.
DH and I just wanted to know the normal payroll procedure when an employee dies so that we can complain to the ex-employer.

Vancat

This is what HMRC instruct employers to do;

If an employee or pensioner dies
If an employee or someone to whom you pay an occupational pension dies you must complete a form P45 and make any final payment due to the deceased's personal representative. This is usually the executor of their will. The steps you then need to take depend on whether the individual was an employee or a pensioner.
If an employee dies

Make sure that you:

• complete a P45
• write 'D' in the box at the bottom of the form to indicate that it relates to an employee who has died and not just left your business
• send all four parts of the form to us

there's nothing that would suggest an employer should ever send all 4 parts (or any part at all!) to a deceased person.
HTH
VC