Tax implications of getting paid gross for 2 months

colly

Registered User
Messages
184
I joined a new company just under 3 months ago. They are based in Northern Ireland and didn't have anything organised tax wise when it came to paying me, so they paid me gross and said they would get their accountant to sort it out. However I am now leaving the job as it has not worked out. I am going back to a large multinational. When I go back they are going to ask me for a P45 - I do not have one from the current job, but I do have one from the last job 3 months ago. Can I just give them that - I doubt there are any records of me earning the money I did in the 2 months I have been in the current job, but will this pose a problem?

I would appreciate any advice you can give me.
Thanks
 
Don't give them the old P45 as it may be on a cumulative basis and you'll end up with a bigger liability at the end of the year.

Given the admin problems in current job, I would recommend asking Revenue to issue tax credit cert on week one basis when you start new job. If they ask say you never received a penny in the current job.

Continue to pursue your P45 from current employer and if you don't see one, you should declare the income you received as additional income and pay the tax at the end of the year.
 
Thanks for your Help Ham Slicer.
Ham Slicer said:
Don't give them the old P45 as it may be on a cumulative basis and you'll end up with a bigger liability at the end of the year.
Sorry what do you mean my cumulative basis?

Ham Slicer said:
Given the admin problems in current job, I would recommend asking Revenue to issue tax credit cert on week one basis when you start new job. If they ask say you never received a penny in the current job.
Sounds like a good idea, any idea how i do this? Can I then give this to my new employers? What if they specifically need a P45?

Ham Slicer said:
Continue to pursue your P45 from current employer and if you don't see one, you should declare the income you received as additional income and pay the tax at the end of the year.
I'd say trying to get it all sorted with the guys I'm currently with would be near impossible. Perhaps this is the best option, but i don't understand it fully, can you pelase elaborate a little more?

Thanks!
 
Cumulative Basis - Basically, your new employer would be using your tax credits from the 3 month period in current job. You don't want this as it's better to keep these credits to effectively offset against the payments from current employer.

To be week one - just call Rev and request tax credit cert on week one basis. You'll need new employer tax number. New employer will not need P45.

At end of year you can submit a tax return to Revenue including salary from employer no. 1, employer no. 3 and the gross payments from the company that paid you gross.

It will work out that you owe say €500 and you pay this to Revenue. If you can't work it out, don't worry. Revenue will work it out for you and let you know how much you owe. The form you need to fill out is a form 12 and is available from www.revenue.ie.
 
Ok thanks, I'll do that.

I've just seen this thread on boards.ie where the revenue will do a check and send you out a balance statement. I want to do it as I think I may be owed tax from the past, but am I better doing this now, or shall I wait until later?

Cheers
Colly