What is a P45?
The P45 form is a document stating how much tax has been paid on your earnings during the current tax year.
It should be provided by every employer when an employee leaves their job. It contains personal details, including your name and National Insurance number, and relevant tax codes for the individual.
When starting a new job, a new employer should send part of the employee’s P45 to the tax office. This ensures that the employee continues to pay the right amount of tax for that year.
If you are an employer, you need to provide a P45 for every employee that leaves your employment, unless they are retiring and you are continuing to pay them a company pension.