P45, P60 and P11D are Pay as You Earn (PAYE) forms. Forms P45 and P60 are given to employees by their employer; these contain information regarding the tax you pay on your income. If you are in receipt of employee benefits or expenses, your employer will send a P11D to HMRC.
What is a P45?
A P45 is a form that is issued by an employer when an employee stops working for them. The full title of the form is ‘Details of employee leaving work’, however it is commonly referred to by its reference code of P45. By law, an employer must provide an employee with this form when they leave.
Your P45 shows how much tax you have paid on your salary in the tax year. The form contains 4 parts: Part 1, Part 1A, Part 2 and Part 3.
- Part 1 of the P45 form is sent to HMRC by your employer. HMRC use this to record the relevant details on an individual’s taxpayer record.
- Part 1A should be retained by the employee.
- Parts 2 and 3 are both given to either your new employee or to Jobcentre Plus (if applicable).
If you’re starting work for the first time, have been in self-employment or are commencing employment in a second job – you will not have a P45. When this situation arises, it is likely that your new employer will use a Starter Checklist to collect the information they need. This helps them to work out the correct tax code for you.
What is a P60?
A P60 (End of Year Certificate) shows how much tax you have paid on your salary during the tax year. By law, your employer must provide you with a P60 if you’re working on 5 April. They can provide you with this on paper or electronically – as long as they do so by 31 May.
As your P60 is evidence of how much tax you have paid on your salary, it is needed when claiming back overpaid tax; applying for tax credits; and also as proof of income when applying for loans and mortgages.
What is a P11D?
If you receive any ‘benefits in kind’ such as a company car on an interest-free loan, your employer will send a P11D to HMRC. Employers are required to send a P11D to HMRC for employees earning at least £8,500 (including the value of company benefits) in a tax year.
It is not a legal requirement for the employer to provide the employee with a copy, but they usually will. An employer is required to tell you what’s on your P11D.
What if I’ve lost PAYE forms?
If you lose your P45 you cannot get a replacement. Your new employer will instead ask you to complete a Starter Checklist or alternatively, ask you to provide the relevant details. If you lose either your P60 or P11D, you can ask your employer for a replacement copy. HMRC can also provide you with a copy of your P11D.