Do you have to give your employer the P45 form?

questricky8

Hi All, I started a new job about three weeks ago. I called the DWP last week to sign off. I received my P45 form at the weekend.


My new employer hasn't asked me about the P45 or P46 form. My question is what would happen if I didn't give my employer the P45 form? I am only a little bit hesistant to give them the form because it might reveal how long I have been out of work and what benefits I was on.

spadoosh

Itll only really effect the amount of tax you pay. Starters without a p45 usually end up paying a bit more in tax for a few months untill HMRC get a clearer picture of their earnings and adjust tax codes.

An employer probably wont care if youve been unemployed or on benefits. They will more likely to bothered about the fact that youre not honest about it.

A p45 doesnt tell someone what the payments are for but it does tell someone who the payments are from.

questricky8

Thanks Spadoosh. Your right in hindsight I should have been truthful from the start but I felt this was the only way I would get the job. I never contemplated at the time that the tax form could be an issue. So, do you think I should hand in the P45 and come clean? Or just leave it till HMRC sorts it out after a few months?

Madbags

Personally I would just wait til the HMRC sort it out. You could probably expedite the process by ringing them and telling them your new employer has the wrong tax code and they'll issue it sooner.



When the HMRC send the correct coding notice to them it'll pull through the gross and tax paid to date but it won't give any other information than that.

rhino_horn

It's no big deal running payroll without this info, it now just usually defaults to the 1185L tax code when I enter a new employees details into my accountancy software. Once first payroll is run and FPS is submitted HMRC will then notify me via letter if a tax code is to change. Recently they have been sending these letters to me within a few weeks.

I haven't batted an eyelid if an employee doesn't have a P45. I'm more bothered that their references check out

questricky8

Thanks Madbags and Rhino horn. I'll do as you suggested and just wait until the HMRC sort it out.