What are the duties of the employer regarding leavers and new employees under the PAYE system?
Employers must provide a leaver with a P45 showing his or her total pay and tax to date. It is no longer necessary for employers to submit forms P45 or P46 to HM Revenue and Customs when employees join and leave the organisation, as the information previously provided on these forms is included under real time information. Employers should include details of leavers and new employees on their full payment submission.
New employees should give their employer form P45, showing their cumulative tax and pay to date, where a cumulative tax code has previously been operated. If the employee does not have a P45, the employer will require his or her:
- full name;
- date of birth;
- full address; and
- national insurance number.