Tax & Accounting News

All Change on P45s

13/03/2009

Businesses are reminded that from 6 April, they will no longer be able to use the pre-printed multi-part P45s issued by HM Revenue & Customs (HMRC).

From that date, businesses with less than 50 employees must print out their own Parts 1A, 2 and 3 of the P45 onto plain A4 paper, as and when they are required. Most payroll software will also produce P45s.

Businesses with 50 or more staff will be required to submit P45s to HMRC using its online service. Smaller businesses will not be required to online filing until April 2011 but might want to start making the switch ahead of that time for speed and convenience.

l Anyone who may have received a new PAYE tax code from HMRC in February, and thinks that it may be incorrect, would be wise to check HMRC’s calculations. We would be happy to advise on this.

If you would like further advice on any of these issues, please contact us.