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JSA, P45 and self employed

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  • whizzywoo
    whizzywoo Posts: 761 Forumite
    Fifth Anniversary 500 Posts Photogenic Name Dropper
    Receiving a P45 will NOT stop you being registered as self employed.

    Many people are self employed and also employees under PAYE at the same time. They stop employment or change employers all the time and receive P45s when they do. It does not stop them being self employed.

    I worked in accountancy and taxation for over 40 years and this has always been the case.

    The reason a P45 is issued is because a Contributions based Jobseeker's or Contribution's Based Esa is a taxable benefit.  As soon as the application is received you are put into the system automatically.  As soon as the application is cancelled because you aren't eligible to receive the taxable benefit, the system needs to take you off and the way to do that is to issue a P45.

    It won't affect your self employment registration at all.
    "All shall be well, and all shall be well, and all manner of thing shall be well."  :) 
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