Tax Rebates & Refunds

Facts you may not have known about a P45

August 1, 2010
Posted in Tax Rebates — Written by Geoffrey

When it comes to claiming for a tax rebate, the P45 and P60 forms are the important documents you need to have. These documents have all details about your earnings and the tax you pay during a tax year. If you want to know the amount of tax rebate you are eligible to get, you just need to enter these values into the tax refund calculator. The tax refund calculator will display the amount of tax you are eligible to get back.

What is a P45?

A P45 is a document that your employer will provide you with after you stop working for them. This document has the record of your earnings and the tax you pay during a tax year. It also shows:
• your National Insurance number
• your PAYE (Pay As You Earn) reference number and tax code
• your leaving date
• the amount of tax deducted from your earnings
• your earnings during the tax year

The P45 document has four parts – Part 1, Part 1A, Part 2 and Part 3. Your employer will be sending the Part 1 to the HMRC. The remaining three parts are given back to you. When you claim for Jobseeker’s Allowance or begin a new job, you need to give Part 2 and Part 3 to the Jobcentre or to your new employer.

Most of the time when people start a new job, they are put on a wrong tax code. In such cases, they end up paying more tax. If the same has happened to you, then you can claim the tax back.

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