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P60's A legal requirement?

I am getting the run around from a pension scheme administrator who has not supplied my client with P60's since she has been retired. I need them to check coding notices and possible overpayment of tax on various sources of income. The administrators say that a March payslip stands in lieu of a P60 and that they do not have to issue P60's to their pensioners, which they don't apparently. Yet my Hardman's and other sources  state that the 'deadline' is 31st May each year. So how can this be true if a P60 is not a legal requirement anyway. I have tried the PAYE CD issued by HMRC but I am no further forward.

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By zebaa
07th Jul 2010 22:38

Try this here

http://www.hmrc.gov.uk/pensioners/pension-retirement.htm#7

 

How PAYE works if you receive a retirement annuity

Your Tax Office sends your annuity provider a tax code which tells them how much tax to deduct before they pay you. The tax code is based on information we have about your age and overall income - and it might ask for deduction of tax due on your State Pension if you're not already paying tax on this through other means.

You'll receive a form P2 PAYE Coding Notice telling you what your tax code is. It's important to check it - if you think any of the information is wrong you can ask us to re-check it and get a refund if you've overpaid tax. Read our related guides under 'More useful links' below to find out more.

Form P60

At the end of the tax year you'll get a P60 End of Year Certificate. This shows the amount of your annuity and the tax that's been taken off. A tax year runs from 6 April one year to 5 April the next year. Keep the P60 in a safe place in case you need to fill in a tax return or check how much tax you've paid.

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By S Greig
08th Jul 2010 09:32

P60 a legal requirement

Generally the statutory basis for the PAYE system is to be found in the Statutory Instruments. The latest (I think) is IT  2682 (PAYE) Regulations 2003.

There is a legal obligation to provide a P60 in Reg 67, but the wording is :~

67—

(1)     Before 1st June following the end of the tax year, an employer must give a certificate (Form P60) to every employee—

(a)     who was in the employer's employment on the last day of the tax year, and

(b)     from whose relevant payments the employer was required to deduct tax at any time during that tax year.

This (it would appear) therefore only covers Employers ~  not Pension Providers. I cannot find ~ from a quick scan ~ anything to indicate that Pension Providers are equally compelled ~ perhaps a weakness in the legislation?

 

The Administrators may therefore be correct ~ although a bit nit-picking & mean!

I hope this helps.

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08th Jul 2010 14:29

Ask HMRC

Have you tried ringing HMRC and asking for the information. I find that they will supply the last few years information from the P60's the pension providers have submitted. They won't give you the amounts over the phone but if you ask nicely they can fax it the same day.

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