HM Revenue & Customs (HMRC) generates your P60 and it is given to you by your employer or pension provider.
It’s an important form because it shows your income and how much tax you have paid over the year.
You should receive it in April and it records tax and national insurance contributions paid in the previous financial year, from 6 April to 5 April.
Here we explain everything you need to know about a P60.
What is a P60 tax form?
A P60 is automatically created by HMRC every year. It is a form which shows how much you have earned and how much tax you have paid to HMRC.
You will get a P60 once a year, no matter how much tax you pay or how you pay it. It is generated by HMRC by using the following sources:
- Information sent by your employer about your earnings, the tax you’ve paid and any benefits you’ve received
- Your self-assessment tax return if you complete one
- Details of any benefits you are receiving, which HMRC receives from the Department for Work and Pensions (DWP)
- The amount of money paid in private pension contributions, sent to HMRC by your pension provider
Why do you need a P60?
Not only does your P60 show how much tax you have paid, but it also shows how much you’ve earned in the past year. It can be used for a number of different things including the following:
- proof of income for a mortgage application
- if you need to claim back overpaid tax from HMRC
- claiming any benefits you’re entitled to
What’s the difference between a P45 and a P60 form?
You are only given a P45 when you leave a job but you will get a P60 every year at the end of the tax year. When you start a new job, you’ll often need to give your new employer your P45 but if you don’t have one it can usually fill a new form in for you.
» MORE: What is a P45?
Where can you get a P60?
You should be sent a P60 automatically every year, by no later than 31 May. If you are self-employed you may not get a P60 as they are usually handed out by an employer, provided you were working for them on 5 April of that year. If you have multiple employers, you should recieve a seperate P60 from each one.
If you need a P60 as proof of income, you can contact HMRC to request one or view the information in your online personal tax account.
What is included in a P60?
You’ve probably received a P60 at some point in your life and they contain all of your income and tax details. It can be posted to you or you may receive one electronically and it will include the following:
- national insurance number
- your employer
- the amount you’ve earned in the previous year
- any deductions for student loan payments
- maternity, paternity, or adoption leave payments if applicable
Where can you get a replacement P60?
If you’ve lost your P60 you can get a replacement, either from your employer or from HMRC.
How to find help with paying tax
There are organisations that can help you with tax forms. The HMRC website has lots of resources and you can also call it if you need guidance. Charities such as Citizens Advice also provide free and independent advice on all money matters including tax.
» MORE: Everything you need to know about income tax
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About the Author
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by Ruth Jackson-Kirby