PAYE RTI News
No P45 for the P45, after all
February 6, 2012
Plans to abolish the P45 had got as far as draft tax regulations which provided for a leaver’s statement in place of the P45. Now under RTI, P45s will be given to a departing employee to take to their next employer. However, P45s will no longer be sent to HMRC because once in RTI, starter and leaver information will be reported by employers as part of their normal RTI submissions.
Stephen Banyard, HMRC’s Acting Director General for personal tax, announcing the cancelled decision said in today’s announcement:
“We have been working closely with employers and stakeholders about the introduction of RTI. Employers told us to keep the P45 – which is exactly what we have done."