TaxAdministrationHMRC blamed for deluge of P45 requests

HMRC blamed for deluge of P45 requests

The taxman is churning out unnecessary requests for 'unsubmitted' P45s, a payroll consultant has claimed

HMRC logo

The government has revealed in a freedom of information request that it
generated seven million P43s in the past two years. P43s are effectively
requests to refile a P45, on the basis that the original has been lost or not
sent.

Matt Boyle, a tax consultant with Research-4-PAYE, said the chances of
employers failing to send the original P45s was ‘remote’, arguing that the high
number revealed a level of extraordinary inefficiency.

He blamed HMRC for failing to match the P45s with the employee’s details, or
‘it has just lost them’. If a payroll clerk spent half an hour resending a
former employee’s tax information, at an hourly rate of £10, UK businesses had
spent £17.5m a year resending P45 details to HMRC, he estimated.

HMRC said: ‘ There are a number of reasons why HMRC would request a P43. It’s
complete nonsense to say that the figures in the FOI answer represent P45s lost
by HMRC.’

Related Articles

LITRG urges government to consider tax changes in disability work plan

Administration LITRG urges government to consider tax changes in disability work plan

2d Lucy Skoulding, Reporter
HMRC appeal rejected in Tottenham Hotspur case

Administration HMRC appeal rejected in Tottenham Hotspur case

2w Emma Smith, Managing Editor
HMRC issues updated Trusts Registration Service guidance

Administration HMRC issues updated Trusts Registration Service guidance

3w Emma Smith, Managing Editor
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

2m Emma Rawson, ATT Technical Officer
‘Improve rather than lose’ disincorporation relief, tax body urges

Administration ‘Improve rather than lose’ disincorporation relief, tax body urges

3m Austin Clark, Reporter
Are you ready for the Trusts Registration Service?

Administration Are you ready for the Trusts Registration Service?

3m Helen Thornley, ATT Technical Officer
Advisers bullish despite Brexit concerns

Accounting Standards Advisers bullish despite Brexit concerns

1y Fraser Simpson, Reporter
Brexit: Five questions accountants should be asking

Accounting Firms Brexit: Five questions accountants should be asking

1y Fraser Simpson, Reporter