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Payroll Dept Incompetence - P45

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Sorry for the long waffle but want to get all facts in there.
I retired 6 weeks ago on 6th September. My final pay came through as normal on 25th followed a day later by my P45.
I noticed that I was about £1400 short in the pay (quite a normal occurrence for the payroll dept, Incompetent does not begin to describe them). It has taken me 3 weeks and one very to the point email to get it sorted and paid up.
They have paid this as a pay payment for period 7 (25th Oct), even though my "final pay" date was period 6. This of course means my P45 is complete nonsense.
I pointed out this would be the case and as I need to reclaim some tax it needs to be corrected.
Then yesterday I received a letter from them, which is basically a a "statement of earnings" letter with the pay/tax information, addressed to "Dear sir/madam. No accompanying covering letter.
Are the HMRC really going to accept this in the place of the erroneous P45 ?
The way I see it and I am only guessing, is that HMRC have my P45 and my figures will not tally with it therefore I can see all sorts of back and forth for months on end.

Comments

  • Dazed_and_C0nfused
    Dazed_and_C0nfused Posts: 17,635 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    edited 20 October 2024 at 9:29AM
    trevjl said:
    Sorry for the long waffle but want to get all facts in there.
    I retired 6 weeks ago on 6th September. My final pay came through as normal on 25th followed a day later by my P45.
    I noticed that I was about £1400 short in the pay (quite a normal occurrence for the payroll dept, Incompetent does not begin to describe them). It has taken me 3 weeks and one very to the point email to get it sorted and paid up.
    They have paid this as a pay payment for period 7 (25th Oct), even though my "final pay" date was period 6. This of course means my P45 is complete nonsense.
    I pointed out this would be the case and as I need to reclaim some tax it needs to be corrected.
    Then yesterday I received a letter from them, which is basically a a "statement of earnings" letter with the pay/tax information, addressed to "Dear sir/madam. No accompanying covering letter.
    Are the HMRC really going to accept this in the place of the erroneous P45 ?
    The way I see it and I am only guessing, is that HMRC have my P45 and my figures will not tally with it therefore I can see all sorts of back and forth for months on end.

    You are a bit out of touch with payroll procedures.

    Employers stopped sending P45's to HMRC over 10 years ago now, everything (for HMRC) relies on Real Time Information (RTI) submissions.

    HMRC guidance states that once a P45 has been issued (to you) then it won't be changed, if a payment is made after your P45 has been issued then they will report the details to HMRC via RTI but give you a letter not a new or amended P45.

    https://www.gov.uk/employee-leaving

    Have you checked your Personal Tax Account to see what info HMRC are showing?
  • tizerbelle
    tizerbelle Posts: 1,921 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    edited 20 October 2024 at 11:51AM

    You are a bit out of touch with payroll procedures.

    Employers stopped sending P45's to HMRC over 10 years ago now, everything (for HMRC) relies on Real Time Information (RTI) submissions.

    HMRC guidance states that once a P45 has been issued (to you) then it won't be changed, if a payment is made after your P45 has been issued then they will report the details to HMRC via RTI but give you a letter not a new or amended P45.

    https://www.gov.uk/employee-leaving

    Have you checked your Personal Tax Account to see what info HMRC are showing?
    Dazed_and_confused is correct apart from one really minor point - it does not have to be a letter for a payment after leaving - a payslip or any other document showing the payment amount and tax paid is acceptable.  
  • trevjl
    trevjl Posts: 280 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    Thanks, indeed I did not know that.
    I have checked and it has not been updated since I left. I will give it a while and then check again before submitting a claim for rebate.
    On there there is also a bit about UK dividend incomes show £170, it this an estimated from last year ?
  • trevjl said:
    Thanks, indeed I did not know that.
    I have checked and it has not been updated since I left. I will give it a while and then check again before submitting a claim for rebate.
    On there there is also a bit about UK dividend incomes show £170, it this an estimated from last year ?
    It will be an estimate from whenever you last provided dividend income details to HMRC.

    Could be from last year, could be 10 years ago.
  • sheramber
    sheramber Posts: 22,601 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    As the payment is for period to 25 October it won’t be reported yet.
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