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The importance of the P46 form
Taking on a new employee
Many employers are continuing to fail to collect correct information for new starter employees and failing to understand their employer responsibilities. Equally many are failing to apply the correct tax code using what is sometimes referred to as local practices.
Home Office regulations require employer to satisfy themselves that their employees are entitled to work in the UK and record pertinent documents showing that entitlement (termed as a defence). Equally, new employees in most cases should present their new employer with a P45 form.
The P45
The P45 is a certificate providing details of their former employment. It normally has 4 parts and the employee would give their new employer Parts 2 and 3. The employee will also have been given a Part 1A which they are to retain, so if the P45 has part 1A still attached, this must be returned to the employee.
The validity of the P45 and how it is to be applied is explained in the HMRC guide E13, and in most cases the form determines the employee’s tax code. However, many employees may not have a P45 from their previous employer when they start working in a new job and often in the past, they and the new employer have never completed a P46 either.
The P46 – same game, new rules
The rules for the P46 form have changed and employers' HR and Payroll departments are now obliged in most cases to undertake certain actions, or else fear potential penalties and fines for non-compliance from HMRC. If a new employee does not have a P45, then in most cases a P46 must be completed. The P46 is the form used to tell HMRC of an employee who has been paid and does not have a P45.
The E13 states:
If a new employee is going to work for you for more than one week and does not have a P45:
- Ask your employee to contact their previous employer to get a P45 if they have worked in the UK in the current tax year.
- Ensure that Section one of form P46 is completed in time for your employee’s first payday.
Changes applied from April 2008 allow employers to use their own version of a P46 if they file in-year forms online through electronic exchange. This could even be collected from employees electronically.
What if...
Often, employers have neglected the completion of the form leaving the onus on the employee to obtain and submit. This is no longer permitted and the employer has responsibility for submitting as well and obtaining P46 information from their new employees.
With the onset of compulsory in-year filing and the onset of associated penalties and fines, it is essential that employers review their HR and Payroll processes to ensure that they are fulfilling their legal requirements and ensuring that employee either present their P45 or complete the P46. If the employee refuses to do either, then the employer is obliged to make the declaration on the employee’s behalf to the best of the employer's knowledge. This will generally mean ticking box C as a form P46 with no tick in either A, B, or C is allowed and will be rejected as incomplete.
Exceptionally, if your employee has not completed the form P46, or provided you with the information to fully complete Section one in time for the first pay day, you (the employer) must complete Section one to the best of your knowledge on their behalf and use code BR on a cumulative basis. You (the employer) must send in a P46 for all cases on the employee’s first pay day.”
Only if an employee is going to work for the employer for less than one week is there no need to complete a P46.
Need some help with e-filing? We can help. Call us today on 0800 0482 737 or contact us online.
Comments
1 Nilesh
This is such a helpful topic to understand any confusion for new job and filling a p46 forms and how to complete without any error…..
posted on 1st May, 20092 Tariq Mahmood
Dear Sir/madam,
With due respect, I need your guidance to filling up the P46 if it is necessary?
As I am doing two jobs. My IST job (main job) is 30 hours contract per week and I am paying tax & NI of this job and I already filled up P46 for this job.
My 2nd job is just 12 hours per week, I filled up P46 for this job last years as well, my average pay by this job is £416 but few times in a year when my wages increases more than £454 per month then I been deducted NI number only but most of the time no tax or NI been deducted.
My question is: Do I need to fill up P46 for the 2nd job? If yes which option I need to be choose A, B or C.
Which tax code should I need to have on my 2nd job?
(While I am doing altogether 42 hours per week.)
Thanks in advance for guidance.
Regards.
Tariq Mahmood
posted on 9th May, 20093 P Simon Parsons
The simple answer is yes, for every job a P45 needs to be provided or failing provision of a P45, then a P46 is required to be completed by the employee, failing that, then the employer is obliged to complete the P46 as detailed in this article.
The correct box to tick is evident from the questions on the P46 form.
The format of the P46 can be found at http://www.hmrc.gov.uk/forms/p46.pdf
I would suggest in the circumstance you list this is Box C. The correct tax code for Box C is BR cumulative and will result in tax of 20% being applied to all of that employment earnings.
National Insurance Contributions are dependent on earnings levels and apply to each job seperately in most circumstances.
posted on 11th May, 20094 Khalid Javed
As i am working in pc world for 18 hours its my first job, but some time on the weeked i am working on domino pizza but al togather im working under 30 hours a week what is the % of tax do i have to pay.
thanks
posted on 26th May, 20095 P.Simon Parsons
The tax % is governed by the amount of earnings and not the number of hours worked. So for example, generally the first £6,475 earned during the year is tax free, then earnings above this are taxed at 20%. If you are in two jobs then normally the tax free earnings are applied to the main job and 20% is deducted of everything earned in the 2nd job. However, that is all subject to the correct P45 and/or P46 information being provided to the employer. If no documents are provided then often the employee finds that they are taxed at 20% on everything. So it is important to ensure that the P45 is provided or the correct P46 declaration is used.
posted on 26th May, 20096 KIARASH
I was on JSA and now I have now started work.
The employer has not yet given me a payslip and has put me on P46 emergency code. I do not know how much % tax will be deducted from my wages.
Thanks
Response from P Simon Parsons-Ceridian
The emergency code is currently 647L which allows and employee to receive £6479 per annum withouth any tax being deducted. Then tax is attracted at 20% on the excess up to £34,800 and then 40% on earnings above.
The tax free allowance is shared throughout the year, so each pay period you will either receive a 1/12 or 1/52 of the tax free amount (not tax, and the remainder taxed at 20%).
posted on 5th June, 20097 Liam
I started working in February and I have been getting taxed 20% on all my earnings including below the first 6,000 I have filled in and sent off my P46 form over a month ago and was wondering is this is the way to go about getting my tax back? is so how long does it generally take? and if not, how do i go about it?
Response from P Simon Parsons of Ceridian
The P46 has 3 tick boxes which dictate the tax code and tax deduction position. The answer to your question depends on what tick box has been marked and who you have given the P46 too (is that the employer).
If tick box C has been marked then you will pay 20% tax on every penny you earn.
If tick box B has been marked, then you will not get back the tax you have paid so far but will receive a tax free amount moving forward.
If tick box A has been marked, then you should get back any prior overpayment of tax in this tax year.
With regards to any overpaid tax in the prior tax year, you need to contact your local tax office and arrange for any refund due. Your form P60 given to you by your employer should state details of which tax office to contact and also act as proof for submission to HMRC to obtain the tax back if you are due a refund.
posted on 12th June, 20098 jay
I have new employee’s starting with me but they are on a three month trial and their employement could be cancelled at very short notice. Is there a way i can delay sorting out their p46 i.e let them take care of their own affairs untill they have passed this period. Otherwise i could have a moubntain of p46’s and a very big headache when it comes to fillining in my end of year records?
posted on 17th June, 20099 P Simon Parsons
If the employee is employed by you for more than 1 week, then you are required to undertake the P46 process when they do not present the P45 by their first payment. The only exception is if the employee has ticked box A or B on the P46 and their earnings do not exceed the NIC Lower Earnings Limit (which is currently £95 per week for the 2009/2010 tax year). If earnings exceed the LEL then ou are required to complete the P11 which records the value required for Tax Year End reporting.
With regards to the headache, you could utilise the services offered by Ceridian to employers to undertake much of this work for you or use the affordable Ceridian tools which equally enable employers to fulfill their compliance requirements. Ceridain services enable electronic interface with HMRC
posted on 17th June, 200910 I Yap
I was here last year on a working holiday visa. I was travelling and working fulltime for a year with my employer. The visa expires and I’ve returned back to my home country for 3 months.
I was then offered by my employer to return to continue my service. I am currently back with the same employer with a different visa.
I was told that I could get a full tax refund if I am on a working holiday visa. Is that true?
If not, what do I need to submit to do a tax return,I believe I have overpaid the tax amount.
I have recently received my p60 form and that is all I have received so far. Please advise
posted on 23rd June, 200911 P Simon Parsons
“I was told that I could get a full tax refund if I am on a working holiday visa. Is that true?”
Not necessarily. When you returned home your employer should have given you a form P45 with your earnings paid todate and the amount of tax paid. It may be that you have overpaid tax, but it is not true that a Working Holiday Visa means you pay no tax. If you contact your UK tax office they will send you a form P85 for you to complete and this will aid any refund of tax if any is due.
The P60 is given to employees who were employed on the 5th April.
posted on 23rd June, 200912 Dan
I am a full time student and have one part time job in which I work 6 hours a week and one casual job in which I work between 6-12 hours a week during holidays. I only started casual work in february to take up time between college and uni.
I am getting taxed 20% on the 2nd part time job even though I do not earn anywhere near £6000.
Is this correct to be paying tax at this raate when I do not earn that much money?
posted on 29th June, 2009And if it is incorrect can I claim tax back?
13 P Simon Parsons
It may be worth contacting the tax office and seeing what they are happy to do about your situation. They may be willing to split your tax allowance between the two employments in some way so that you are not overtaxed in the 2nd employment. However, if you do overpay tax overall, it is possible to reclaim any overpayment from HMRC.
The tax code used in the 2nd employment is dependent on how the P46 questions have been answered. If it has been stated that you have a job elsewhere then Box C would be completed and it would be correct for the employer to tax all earnings at 20%. But as you stated, you actually don’t earn enough in the first employment to attract this amount of Income Tax. In which case speak with HMRC and see if they are willing to split the allowance. They will want to know how much you are expected to earn in your main or regular employment and then allocate the remaining allowance to the holiday employments. but then again they may not agree to this.
Either way it is possible to reclaim any overpayments.
posted on 29th June, 200914 steve
Hello,
I’ve just been offered a job and start on Monday. I have been unemployed for almost 5 years after resigning from a senior job and subsequently being unable to find work. In order to make me look credible as a potential employee I did some voluntary work for two companies but put them on my CV as if they were freelance jobs. Now that I’m starting with a new employer I wondered if it would become obvious that my last paid work was almost 5 years ago or is there some way I can get a new P45 without needing to refer to my last ‘real’ employer.
Thanks,
Steve
P.S. My CV shows the last time I worked (although of course this was in a voluntray capacity) as being January this year.
posted on 30th June, 200915 P Simon Parsons
I would suggest that you do not give in your 5 year old P45 as it is some years old and complete a P46 instead.
It may be worth contacting your tax office on with regasrd to the old P45 as it may be that they owe you some tax back depending on whether you left mid tax year and whether you had to Self Assess or not.
Complete a P46 and give to your employer.
posted on 2nd July, 200916 T Willis
Hi, I have been working as a saturday girl for the last year or so and have now been been taken on by the same company full time. They want me to complete a P46 as I wasn’t previously on the payroll.I dont know what box i should tick though as the only job i’ve had has been with them as a saturday girl up until this month. Please advise.
posted on 15th July, 200917 P Simon Parsons
When an employee is subject to Income Tax or earns enaough for National Insurance and leaves a job then the employer is obliged to issue a P45.
In the case of someone who works part time and does not earn enough to pay Income Tax and not enough for National Insurance recording purposes, then the employer has no reason to issue a P45 (and it is not required).
Now that you have been taken on full-time then tick the most apporpriate box on the P46 form.
I would suggest that may be tick box B but read the questions and answer the one that applies to you.
posted on 15th July, 200918 R. Percival
I will be starting a new job very soon but currently serving my notice in my present job. I do have a P45 but at present it is with my employer. Therefore do I need to fill out a P46 or do I just hand my P45 over to my new employer once I get it back from my present employer!?
Thanks
posted on 16th July, 200919 P Simon Parsons
A P45 does not travel from one job to another in the way that your question may be suggesting. You may have given in a P45 to your present employer but that P45 is now used and finished with and will not be returned to you. When you finish with your current employment, then your employer should issue you with a new P45. You should then give this new P45 to your new employer.
If on the day of starting work you do not have a P45 to hand in from your present employer, then you should complete a P46 and tick the relevant box where the question relates to you and your circumstance.
posted on 17th July, 200920 raihana valu
I recently just started a job at a hair salon it was for two months. Unfortunatly I was fired after 2 weeks. As this is my first job and I am only 17 do I get taxed. I worked full time shifts for 9 days and the salon says I should be taxed and yet I havent filled out my p46 as i did not have a p45…Help
posted on 18th July, 200921 P simon Parsons
Everyone who earns money potentially has to pay tax.
You should complete a P46 and this should be facilitated by your employer. If this is not completed then you will pay tax on every penny you earn at what is termed Basic Rate. the current Basic Rate is 20%, so you will pay 20% tax on everything earned.
However, now that you are leaving this job, your employer must issue you with a P45 detailing your earnings and tax paid. This P45 should be passed to any new employer or if you believe you are not going to work for the remainder of the this tax year (before 5th April 2010), then you should contact your tax office potentially to have a refund of all tax paid.
If you obtain further work it is in your interest to contact the tax office to obtain your single persons tax allowance to ensure that you are not taxed on every penny.
posted on 18th July, 200922 Daniel
I am taking up a full time temporary job from next month, but I have casual employment with another company. Would I have to tick the B or C option?
posted on 20th July, 200923 C Eze
On my first day of work on July 18th 2009 I completed this P46 form and handed it to my employer at Next, that was the only day I worked. Since then I have been taxed 20% off each of my payments and I am a 17 year old student. Why did this happen if I am a registered student in the UK under 18?
posted on 27th July, 200924 P Simon Parsons
From the information you have given then it is probably most appropriate to tick box C. This will mean that you pay 20% tax on everything you earn. So additionally it is worth contacting the tax office (your employer should be able to give you what is called a tax reference to quote and you will need to provide your National Insurance number if you have one. They can then make an assessment of what you tax free allowance should be.
posted on 27th July, 200925 P Simon Parsons
All individuals employed in the UK are subject to Income Tax. Registered students are not exempt from taxation. If you are being taxed at 20% then this indicates that you ticked box C of the P46 or your employer has not yet processed the P46 you completed. Student who work through vacation periods only can potentially completed a P38S which allows student to earn up to the tax free allowance amount (in effect no tax is deducted). Is this purely a holiday job, if it is then ask your employer if you can complete a P38S.
But just to be clear, students are not exempt from Income Tax.
posted on 27th July, 200926 Gertrude
I have a part time job where I earn 42 pounds a week and I filled form P45. I never had any other job and they taxed me 20% out of the 42 pounds. what do I do please. more so, I have just got a another job of which I can receive as much as 90 pounds a week. If I quit my first job, will this new job be considered as my first job and tax free since the weekly pay is not up to 95 pounds? Thank you
posted on 30th July, 200927 P Simon Parsons
If you passed on a P45 to the new employer then this may be cuasing you to be taxed at 20% as the tax code on the prior P45 may have been BR.
I would suggest you contact the tax office and have them review your situation and they can issue your employer with a tax code which includes as tax free amount.
Any overpaid amount of tax can be reclaimed.
posted on 31st July, 200928 Gary
HI There,
If I fill out a p46 for a new employer can you tell me what information will be sent back to the employer please? Would it just be a tax code or would it also show other personal information for example if the person had been on jobseekers alowance or incapacity benefit.
Thanks
posted on 31st July, 200929 P Simon Parsons
HMRC response to a P46 being submitted (if any response is required) would purely relate to items applicable for the calculation of tax. So they may notify a tax code, previous employment taxabale gross and previous employment tax paid if there is any during that same tax year. No other personal information is given beyond using the employees name and National Insurance Number.
posted on 3rd August, 200930 Amelie H
We just employed a student for the summer. We know she need to fill a p38 and we are using the NT tax code. However, do we need to fill a p46 for her? If we fill the P46 online the system will automaticly give us an emergency code to use which is wrong.
posted on 6th August, 200931 P Simon Parsons
You may only not deduct tax following the completion of the P38S. You do not submit a P46 to HMRC in this instance until the earnings at some future point exceed the Single Persons Tax Allowance. If that happens then you submit the P46 to HMRC and apply 0T week 1 / month 1 tax code if tick box A or B has been declared or use tax code BR on a week 1 / month 1 basis if tick box C has been declared.
It may be prudent to obtain the P46 information up front on which tick box applies, but the information is not submitted to HMRC but retained until the employee becomes liable to tax on earnings if that applies.
posted on 6th August, 200932 klairie
Hi, I am undertaking various consulting assignments as self employed. For my new assignment, the clients wants me to fill in a p46 form. what is the best way to go ahead?
posted on 16th August, 200933 P Simon Parsons
You need to find out what the arrangement is with your client. If they are asking you to complete a P46 then they are treating you as an employee and not self-employed.
posted on 17th August, 200934 Natasha A.
Hello, I am a young american living in England on a spousal visa. I just recently got a job in which I start in a few days. It’s a part time. 20 hours a week. Obviously, this is my first job in england. Will I get emergency taxed? I know I have to fill in a P46. I also have a NIN.
Thank you.
posted on 24th August, 200935 P Simon Parsons
Your taxation on payment will depend on which Tick Box you mark on the P46.
If you are able to tick box A or B then you will receive an amount of tax free pay. However, if you have to tick box C or do not tick any box, then you will pay 20% tax on every penny you earn.
The questions on the P46 are:
A – This is my first job since last 6 April and I have not been receiving taxable jobseeker’s Allowance or taxable Incapacity Benefit or a state or occupational pension.
posted on 24th August, 2009OR
B – This is now my only job, but since last 6 April I have had another job, or have received taxable Jobseeker’s Allowance or Incapacity Benefit. I do not receive a state or
occupational pension.
OR
C – I have another job or receive a state or occupational pension.
36 mrs. P. Robinson
I retired xmas 2007 aged 60 years (female) from my place of work, I stayed on as nil hours. I have now been doing quite a lot of hours as they had staffing problems, so concequently I have been doing around 30 hours a week for four months, I have been paying National Insurance (which I should not be paying at all)and emergency tax these past months, and now my employer is asking me to fill in a
posted on 25th August, 2009p46 form, but surly as I am still with the same employer would they still have had my p45 details on record??????
and saved all this hassle !!!!
37 P Simon Parsons
I suspect that your employer treated you as actually retiring in 2007 and there is a break in employment. By emergency tax you are meaning tax code BR, then you are paying tax on every penny, so yes it is of benefit to complete a P46 to get your record created with HMRC. It is also worthwile contacting the tax office and having them undertake an assessment of your retirement income and employment income in an effort to allocate some of your tax free allowance to this employment.
posted on 25th August, 200938 Nessa
Ive recently started a second part time job (4hrs in the week) in which Ive been emergency taxed to the point of me working free… I just filled out a P46 and was told to tick box C, which from previous statements means I will still be emergency taxed!
lease help!!!
posted on 26th August, 2009How do i go about changing my code so I get emergency taxed on my 8hr contract job instead and will I get that money back??? Im seriously confused which box i should be ticking: A. B or C
39 P Simon Parsons
For a 2nd employment the correct tick box is C. Tax Code BR is the correct code as a temporary measure until you sort out your tax position with HM Revenue & Customs (HMRC).
Basic Rate tax is only 20%, so you should not be at a point of working for free as you will still be receiving 80% of your pay.
I would suggest that you contact HMRC about your circumstances. They will want to know your employers tax references. Often this is on the payslip, if not then you need to ask your employer for the detail. They will then want to know who much you should be earnings in each employment. It is likely that they wll then split your tax free amount between the two employments. If your combined earnings are below the annual threshold then you will not pay tax in either employment. Equally any overpayment of tax in a prior tax year (tax year runs from 6 April to 5 April) can be reclaimed from HMRC. In the current tax year the refund can be undertaken through the issue of what is termed a cumulative tax code.
You must speak with HMRC to have this dealt with and they will contact your employer and potentially issue a tax code for each of the seperate employments.
The following link takes you to how to find out which tax office to contact: -http://search2.hmrc.gov.uk/kbroker/hmrc/locator/locator.jsp?type=1
posted on 27th August, 200940 Emma Jane
Hi, P Simon Parsons,
I was wondering if you chould help me as I think I made a mistake on my p45.
I quit my job in retail on 21 Aug ‘08, to work in a school on 3 Nov ‘08. During the 2 months I had off work, I was jobhunting and unemployed. When I started at the school, I was being taxed a lot more than I should have, so I was advised to fill out a p46 2 months ago, and tick box B, which, from what I understand from the above posts, means that my tax will be corrected, but I will not get back the tax I have paid so far (for almost a year). However, I have realised that maybe I needed to tick box A, as I did not have another job, while working at the school? My collegue, who started at the same time as me, had the same problem and ticked box B as she had 2 jobs…
So, my question is, am I entitled to a tax rebate, and was I right to tick box B?
Also, if I am entitled to a tax rebate, how do I go about getting it?
Thanks.
posted on 28th August, 200941 P Simon Parsons
Did you receive a P45 when you left your employment in Aug 2008. Why was this not given to your new employer when you joined them in Nov 2008?
If you don’t give your new employer a P45 then you do need to complete a P46 and in your case Tick Box B would be correct. However, this will only give you a proportion of your annual free pay in relation to your new job and will not have taken into account any period you did not work or your prior job earnings. On that basis you may have been overtaxed.
To assess if you are entitled to a tax rebate then you should contact the HMRC tax office to potentially progress a repayment. They will want details of who you worked for, their PAYE tax references and the amounts you earnt and the amount of tax paid through the 2008/2009 tax year. The tax office will also then asses the correct tax code for use during the 2009/2010 tax year.
I think the mistake was not giving you new employer the P45 you should have received when you left the job in Aug 2008
posted on 28th August, 200942 Nicholas Rolls
Hello, I wonder if you can help me?
I have worked for 3 years as a nursery assistant part time but have never paid tax as my wages were too low.
I was paid by cheque and my pay slip was hand written
The total number of employees was 6.
I never ever got a P45.
I am about to start a new job full time as a teaching assistant and I will have to fill out a P46. Should I still receive a P45 from my old employer as they say I dont get one as I never paid tax as my wages were too low. Is my ex employer having me over?
Thank you.
posted on 28th August, 200943 KIM
I have worked part time in a hairdressers for several years as I receive tax credits. I have not paid tax as I don’t earn enough.
posted on 29th August, 2009I am now starting a full time job and do not have a P45. Should I complete a P46 and give it to my new employee.
44 Albert Smith
Hello,
I recently moved jobs and was given a p45 form from my previous employer a month after starting with my new job. I have already completed a p46 with my current employer. My questions:
1. Is it compulsory to hand in my p45 to my current employer in view of the fact that I have already completed a p46?
2. Are there any implications of not handing in p45-is it against the law?
3. Will I get a p45 from my current employer when I change jobs again in the future?
Thank you!
posted on 30th August, 200945 P Simon Parsons
1 - No
posted on 30th August, 20092 - Yes, you may be paying too much tax or too little tax if you do not hand in your P45. No it isn’t against the law to not hand it in.
3 - Yes, a P45 is issued to an employee when they leave a job. it delcares the amount of pay and tax so that if the tax man comes knocking, you have confirmation of what has been earned and what tax has been paid.
46 P Simon Parsons
Yes, an employer should either request your P45 but as you don’t have one, then request the completion of the P46. It is in your interest to give this to your employer else they will tax you at 20% on every penny you earn. It is liekly that you will tick box B on the P46 and therefore receive a tax free element of pay.
posted on 30th August, 200947 Simon Parsons
A P45 must be given to an employee who leaves if they have earned an amount in excess of what is called the Lower Earnings Limit for National Insurance Contribution pruposes (even if no tax is actually paid) or if any tax has been deducted. In your case it is likely that you earnings were less than the LEL and so no P45 is due and yo will not receive one. It is correct to complete the P46 with your new employer.
posted on 30th August, 200948 Sue Jeffs
Where can I get a P46 form that I can complete on my computer and then print out.
posted on 1st July, 201149 christine
help ,im going crazy ,not sure which box to tick on p46,i left one job on the sunday and started a new job on the monday,i am tempted to tick b ,but it implys i have had two jobs at once which i havn’t and obviously this isn’t my first job so a is out ,any suggestions please .
posted on 22nd July, 201150 P Simon Parsons
Tick Box B does not imply you have two jobs at once. It states “This is now my only job but since 6 April I have had another job”.
But why are you not presenting your new employer with form P45?
posted on 23rd July, 201151 P Simon Parsons
Form P46 can be obtained at
www.hmrc.gov.uk/forms/p46.pdf
posted on 23rd July, 201152 Chris
I worked as a self employed for two weeks after April 6 2011, however I ceased trading. I have just being offered a job and need to complete P46 form.Should I tick box A or box B?
posted on 11th August, 201153 Marie
My 15 year old son has just started his first day in a saturday job and has come home with a P46. He doesn’t have a national insurance number and I thought he didn’t have to pay tax. Should he still fill in the form and leave NI number empty, and should he tick box A. Thank you.
posted on 13th August, 201154 P Simon Parsons
Hi Marie
All individuals with working income may be subject to Tax. Under 16 year olds are not subject to National Insurance.
Yes fill in the form but leave the NI number empty and yes tick box A.
What is essential is that the gender and birthdate is present along with other personal details.
Simon
posted on 14th August, 201155 Jo
Hi
posted on 7th September, 2011I worked on a 3 month fixed contract April-July. I now have been offered 2 P/T jobs elsewhere for two different companies- one on a Sat, the other one day in the week. They both start in 2 weeks. I don’t have any official paperwork yet, just confirmation emails. The Sat position has sent me a P46 to complete. Should I tick C as I have another job? Even though I haven’t started it yet and I’m not officially on the books yet, as in providing bank details for pay etc
Thanks
Jo
56 P Simon Parsons
Hi Jo
I would suggest you do not complete until you commence the job (ie take the form with you). This may make completion easier. Else the decision is based on which is considered you main job. If the Satruday job is what you want considered as your main job then you may be able to tick box B. If it is a secondary employment once you start your other job, then tick box C.
posted on 7th September, 201157 bob
I have a part time job in a small company earning less than £6000. I am having an offer for a much better job but I need to fill in my P46. I will start the new job after 6 weeks and i have given my previous employer a 3 week notice.
posted on 13th September, 20111- Will my new employer know about my previous salary?
2- Which box i have to tick in the P46 box?
58 P Simon Parsons
Only if you are given a P45 to present to your new employer from your previouis. If there isno P45 to present then tick box B would appear to be the most appropriate.
posted on 13th September, 201159 Joanna
Hi,
I’ve been working at a small firm for a year on a voluntary basis and, therefore, do not get paid. I was just wondering if box A is the most appropriate box to tick since I do not get a wage and haven’t been claiming Jobseekers Allowance
Thanks for your help.
posted on 5th October, 201160 P Simon Parsons
Hi Joanna - if you are not paid, then you are not an employee and there is no P46 to complete. If the employer beleives that there is a requirement for P46 completion, then I suspect they must pay you at least minimum wage. If you are a volunteer then it doesn’t apply.
posted on 6th October, 201161 Sam
Hello,
I was wondering if you could answer a few questions about the tax codes and P46 form. I started my FIRST job in August and since then I was taxed ~25% of every penny. I work full time but I earn 5 GBP/hour due to my age group. When I started working here my employer didn’t give me a P46 or P45 or any other form to fill. My tax code is OT, at first I thought that it is because I didn’t have a NiN, but I got it about a month ago and my tax code is still OT. So today I handed my manager a filled P46 form. So my question is - how long should it take for my tax code to be changed now? I assume that I will know that it’s been changed from my payslip? And when should I expect for a refund? Or do I need to contact HMRC for that?
Looking forward for your answer,
posted on 8th October, 2011Sam
62 P Simon Parsons
Hi Sam
If you have completed a P46, then the employer will most liekly apply it to your next pay. Dependent on the tick box will stipulate if an when youi get any tax back.
If you ticked box A then you can earn up to £7,475 per annum tax free (for 2011/2012 tax year), so you may find that you receive all your tax back next time.
If you ticked any other box B or C, then you may need to contact HM Revenue & Customs to reclaim overpaid tax or obtain what is called a cumulative tax code.
Hope that assists. On a byt the waym you will have been paying tax at 20%.
posted on 9th October, 201163 Dave
Hi,
I haven’t worked in 18 months and have relied on a few occupational pensions and my wifes income. I havn’t claimed jobsseekers allowances or any other benefits in this time but have now been offered a permanent job. Obviosuly I do not have a P45 so which box on the P 46 should I tick? Would I have to pay tax on mthe income from my occupational pensions?
posted on 18th October, 201164 P Simon Parsons
Hi Dave
As you already have incomes from occupational pension schemes then the appropriate tick box is C. This means that your employment income will be taxed at 20% on every penny. Once you start it may be worth speaking with HMRC to have an allcation of free pay shared between your pensions and your employment.
posted on 19th October, 201165 Catherine
Hi
I took a job and after two days of working there, decided it was not suited to me, I did not hand my P45 to my new employer nor did I fill out a P46, will they be able to pay me for the two days work I did
Thankyou
posted on 21st October, 201166 P Simon Parsons
Hi Catherine - certianly the employer must. Although you may find that it is taxed at 20%.
posted on 21st October, 201167 Alec
Hi i never had a p45 to give to my current employer and so filled out a p46.
posted on 31st October, 2011i then started a 2nd job and filled out another p46 for them too.
I have left the second job and am continuing with my original job but the 2nd job have sent me a p45 from them. can i hand in the p45 to my current job or is it completely useless?
thanks
68 P Simon Parsons
Hi Alex
Its not completely useless although there is no point giving it to your current single employer. You may have been taxed at 20% on all of your 2nd employment earnings.
However, the P45 is useful for reclaiming tax from HMRC or filling in self assessment tax return, especially if you have overpaid tax for the full tax year.
Individuals are entitled to earn £7475 tax free.
posted on 1st November, 201169 andrea reynolds
hi i left my job and started a new one the day after filled out a p46 and then received my p45 from my old employer 6 weeks later my tax code at the moment is 747l(Mt1) is this emergency tax
posted on 4th November, 201170 P Simon Parsons
Hi Andrea
It may be. 747L(Mt1) does align itself with a P46 tick box B default code, equally it may have been the code used by your prior employer and put on the P45.
What teh (Mt1) means is that you receive 1/12th of the freepat of £7475 each month (aorund £622.92 per month)
posted on 4th November, 201171 Lucy
I have 2 jobs. First one long standing permanent hours 18.5 p.w. for which I pay tax and NI. Second job for less years working only on a Sunday around 10 months of the year. This job only deducts tax. Should I be paying NI contributions on the second job too and should a P46 be completed? Second employer told me I didn’t need to pay NI contributions. Will I have to repay NI? I get a P60 from both jobs each year. Thank you!
posted on 26th November, 201172 P Simon Parsons
Hi Lucy
To pay NIC in a job you need to earn over what is termed a Primary Threshold. Only earnings above that threshold have an NIC amount deducted. It is most likely that you 2nd income is insufficient to trigger any contribution. Only when you start a new job do you need to present a P45 or complete a P46. What is worth checking is the tax code being applied in both employments as you are entitled currently (2011/2012) to earn £7,475 before any tax is due.
posted on 26th November, 201173 Lauren
Hi, I have been working a 12 hour contract since April this year and started my second 24 hour contract in October. My tax code for my second job is ‘OT’, is this emergency tax? If so, what box do I need to tick on a P46, how do I go about changing it and getting the money that I am owed back? Looking forward to your reply.
Many Thanks
posted on 3rd December, 201174 Ade
hi, i have been working with an agency since November last year and i later went on holiday for two weeks(from March 23,2011 to April 5,2011). after i came back the agency did not offer me a job but i kept checking if there is any job at hand or not, i also called as well, but i was told that there is no job presently. so sometime in June i got a P45 form from them stating the details of employee leaving work, so i gave them a call, to correct the notion. I was told not to worry since i have called to inform them. ever since that time i have not received any job from them. so what do i do? what is my status with the agency? do i have any maternity right what so ever with them?
posted on 12th December, 201175 rupa
hi there,
posted on 3rd January, 2012it’s my first job but i have emergency tax code BR ,because when i am came in the UK. i haven’t my own account number when i am started work no one told me you called to tax office because i have no idea what i am doing ?but know days i m taken my maternity leave so please tell me how to change my emergency tax code number and how to refund my tax.
76 P Simon Parsons
Your employer should have asked you to complete form P46 when you commenced employment along with asking for documents which show that your are entitled to work in the UK. Account numbers are not relevant.
Call the HMRC on the following number 0845 300 0627. Have your payslips to hand and your National Insurance number. They will guide you in relation to any tax refund due and will also notify your employer of any change in tax code.
posted on 3rd January, 201277 Dave Rutter
I am currently working weekends for 12 hours and I have just been offered a further 25 hours during the week with a different company. I want to retain both jobs. The 25 hour job just takes me over my personal tax allowance. By filling the P46 form will I get two tax codes one for each job and do I need to tell both employers of the circumstances as I will now be taxed I assume on the 12 hour job. Thanks for your help.
posted on 13th January, 201278 claire
Hi. I currently work part time in a pub, but have just been offered a job overseas with holidaybreak to work from May 1st - Sept 7th. Holidaybreak have sent me the form P46: (Employee without a form P45) to complete. i have completed my part section one. but im confused who completes section two, to be completed by the employer. will it be my present employer (the pub) or my future employer (holidaybreak)
posted on 20th January, 2012thankyou
79 Colin Lewis
My daughter has been working 3/4 hours a week for several months. She is now unemployed and her previous employer will not forward any paperwork re her employment (she has no P45 and the employer did not ask her for any information needed to fill in a P46).
posted on 22nd January, 2012She is now unable to claim Job Seeker Allowance until she gets a P45 or P46. What should she do?
80 Tom
Question…
I have been with my current employer for 27 months. I have this month been contacted by HMRC to say that I have been underpaying tax. It transpires that my company has been using a basic rate tax code since I started with the company despite being a higher rate tax payer. I was not aware if this. It also transpires that my employer did not request either a P45 nor a P46 from me when I joined. As this was my first job move i was not aware of these forms or any requirement to produce them. Please can you advise if I am at fault or if my employer has a responsibility to request this information from me in order to apply the correct tax code. I now find my self in debt to HMRC in the tune of £25,000 which I don’t have. Any advise would be greatly appreciated!
posted on 23rd February, 201281 Stacey
I have been recieving child income support and tax creidts for the past 2 years after being made redundant from my last position whilst on maternity leave.
I recently applied for a job and told a bit of a porkie to get the position which was that I had been working full time during the past 2 years when really I was freelancing on short term projects that were no longer than a week therefore i was never issued with a P45. I basically didn’t want them to think I didn’t have any upto date experience or was just a lazy - out-of-work stay at home mum!
My major problem now is the only P45 I have is from my old employment? If I filled out a p46 from my freelance work would this expose that I was not working full time or is it just to clarify my tax code? Should I just list my benefits entitlement as my earnings. I really am stuck on what I should actually do?
Someone please help - I know the obvious answer to some would be to come clean but I really want the job especially as it’s taken months to find and we really need the money.
posted on 8th March, 201282 john jones
i have recently been layed off work for a short time. i am employed but due to being layed off i have no choice then to find short term work with another company.ive been asked to fill out a p46 is this correct?please help im confused ?
posted on 8th March, 2012thanks
83 Ned
Our employee completed P46 when she joined us in 2010. She ticked box A so we gave her 647L cumulative code.
However, we have never actually sent her P46 to HMRC, because she was not earning enough i.e. her wages were below the tax and NIC thresholds. But we gave her payslips, showing her 647L cumulative code.
Because her pay is still below all relevant tax and NIC thresholds, MY QUESTION IS: what code should we have applied to her payslips for the year 2011/12? Her old code (647L) or the new code for the year 2011/12 (747L)? Were we allowed/ required to change her original code from 647L to 747L on our own? And what should we do for the year 2012/13, change her original code again?
Many thanks.
posted on 8th March, 201284 Whitney
I moved from overseas and held a job for approximately 2 weeks in November 2010 and did not receive a P45 when I left, but HMRC has it on record that I was working for my previous employer. When I started with my current employer in December 2010 I informed them I did not have a P45 and was told they would take care of it. My tax code is 747L, which I believe is correct, but I just found out there is no record of a P46 being sent by my current employer to HMRC. Are there possible issues this could cause? Also, I have received an offer on a new job and plan to give my notice (4 weeks) but take the latter half of that as holiday as I have holiday owed to me. I will begin my new job when I am on holiday from my current job. My employment with them will end two weeks after I start my new job. How will this effect the taxes on both jobs?
Thanks!
posted on 12th March, 201285 Diane
Hi I currently have 2 part time jobs . The first job I don’t earn enough to pay tax . I filled out a p46 and ticked box c , I am now paying 20% tax on second job. I am now intending leaving job 1 so will get issued with a p45. Will I get the amount I have paid in tax back employer 2 says yes. My questions are did I tick the right box? And do I need to inform hmrc or do I leave my second employer to do it? How long will it take for me to go back to my usual tax code?.
Many thanks
posted on 19th April, 201286 Ellie Cameron
I work for Whitbread. I have two jobs and have filled out a P46 for the second job. My boss has emailed Cerdian because I need a P46 for my first job but they wont give me a form?
posted on 19th April, 2012Im getting taxed and they are not helping!
87 P Simon Parsons
It is the employers legal responsibility to both give and collect P46 information from their employee.
If they fail to do that then a form P46 can be found on the HMRC website.
Equally HMRC helpline can assist with tax coding and tax refund enquiries.
posted on 19th April, 201288 Sanjiv Harindran
I am a student at the University of Warwick, in my 3rd of four years.
I am going to undertake a summer internship at Aon this year. They have asked me to fill in the P46. I am unsure about which box on “Your present circumstances” that I should fill in. Last summer, I undertook an unpaid internship at the DWP (04/07/11 – 26/08/11), but I have not had any other employment since last 6th April (last paid job was about 3 years ago). Hence I think I should tick box A?
Also, since I have not yet graduated, is it correct that I should leave box D unticked?
Many thanks in advance.
posted on 20th April, 201289 Simon Parsons
Hi Sanjiv
In answer to your two part question, you are right on both (I would suggest). If you have not worked anywhere else then tick box A and as you have not finished your studies do not tick box D.
However, I’m surprised that they have not asked you to complete a P38S instead which would relate to a student doing a summer job.
posted on 20th April, 201290 Reka
I’d like to know what sort of information is given out by the Inland Revenue to the new employer in case someone lost a p45?I am aware that they give out a tax code and that i will probably have to fill out a form p46. Can my new employer get hold of my last job’s leaving date from HMRC?
posted on 21st April, 2012Thank you
91 Simon Parsons
THe ifnormation that HM Revenue and Customs may give is:
Previous Employment Gross Earnings todate
Previous Employment Tax Paid todate.
A new employer will not be told the date of leaving of any prior employment, and the previous earnings and tax values will only be provided if a cumulative tax code is issued (one that works across the whole of a tax year).
The alternate working of tax codes is called a Week 1 / Month 1 basis which does not assess the whole tax year, but look in isolation at each pay period seperately.
posted on 23rd April, 2012Have your say