You get a
P45 from your employer when you stop working for them. It's a
record of your pay and the tax that's been deducted from it so
far in the tax year. It shows:
- your tax
code, tax reference number and tax office
- your National
- when you
were last paid
- your earnings
in the tax year from all your jobs
- how much
tax was deducted from your earnings
A P45 has
four parts - Part 1, Part 1A, Part 2 and Part 3. Your employer
sends Part 1 to the Tax Office and gives you the other three.
When you start a new job, or claim Jobseeker's Allowance, you
give Part 2 and Part 3 to your new employer or to the Jobcentre.
You keep the remaining one (Part 1A) for your own records.
should automatically give you a P45 when you stop working for
them. If not, ask for it - you're entitled to it by law.
Your P60 is
the summary of your pay and the tax that's been deducted from
it in the tax year.
should give you a P60 to keep as a record at the end of every
tax year (which runs from 6 April to 5 April the next year). If
your employer doesn't give you a P60 at the end of the tax year,
ask for it - you're entitled to it by law.
- to complete
a tax return, if this applies to you
- to claim
back any tax you've overpaid
- to apply
for tax credits
You may also
need it as proof of your income if you apply for a loan or a mortgage
- so it's important to keep all your P60s safely.
uses form P11D to tell HMRC about the value of any 'benefits in
kind' they've given you during the tax year. This means benefits
or expenses that effectively increase your income, like:
- a company
will only declare them if you've earned at least £8,500
in the year, including the value of the benefits. They will work
out how much each benefit is worth, record it on the form and
send it to HMRC. They'll also give you a copy, which you'll need
for your records or if you complete a tax return.
If you apply
for a loan or mortgage, banks and building societies will accept
form P11D as proof of extra income.