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New employee due a large tax rebate - options?

New employee due a large tax rebate on first pay, will HMRC refund directly?

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New employee at a small company, overpaid tax in last job, p45 shows they will be due a large rebate on first pay at new company.

Company cannot pay this although they understand it would reduce the monthly PAYE bill when that becomes due.

What are the options? Can HMRC refund the employee directly?

Many thanks

Replies (6)

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Out of my mind
By runningmate
19th Oct 2017 14:04

Phone the employer's helpline. You may need authority from HMRC to pay the refund (especially if the P45 is old).

Thanks (1)
Replying to runningmate:
By tkd720
19th Oct 2017 14:43

Thanks will give them a call

P45 only a few weeks old

Thanks (0)
Replying to tkd720:
By SteLacca
19th Oct 2017 20:19

tkd720 wrote:

Thanks will give them a call

P45 only a few weeks old

Is "a few" more than 6? If so code on W1/M1 basis.

Thanks (1)
By GrayMan
26th Oct 2017 11:30

The tax office can arrange to refund the employee directly and issue an amended form P45 to the employee. Meanwhile tax on week 1 basis.

Thanks (1)
By rockallj
26th Oct 2017 12:33

Oh I’d like to opt out of paying taxes too, like PAYE or VAT for only when I am able to afford to, but that’s not the law, is it?

As the refund is offset against the PAYE/NICs deductions of other staff, why can they not afford to pay the employee their own tax back? It doesn’t show a good start to the employee/employer relationship does it?

As others have said, apply for advance funding.

Thanks (2)
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