P60 End of Year CertificateFriday, February 25th, 2011
Prior to tax year 2011/12, the P60 End of Year Certificate (the employee copy of the P14) could only be issued in paper form, even though employer’s P35 and P14 Returns could be filed online. That restriction was removed by amendment regulations and, from the end of the 2010/11 tax year, employers may, if they wish, issue P60s electronically, in the same way that many employers are already doing with payslips.
In preparation for the tax year end, HMRC has updated its guidance on providing electronic P60s. The following is a reminder of what may and may not be done.
- There is no change to the requirement to issue P60s by 31 May at the latest.
- There is no change to the information that must be included on the P60.
- P60s may be made available for individual employees to download from a secure website or area. The delivery method does not require HMRC approval but employers must ensure that employees have easy access to the information and are provided with secure facilities for viewing and printing their P60. Alternatively they can be sent to an email address provided by the employee. Employees who do not have access to a computer must be given a paper P60.
- Although the usual versions of the P60 are available to order from the Orderline for the 2010/11 year end, only two versions of the P60 will be available for 2011/12, a single sheet version that can be completed by hand or by laser printer, and a continuous version for high-speed printing. The layout of the two versions is identical.
- The content of the electronic form will require HMRC approval as, when it is printed out, it becomes a “substitute” P60, for which approval under existing procedures must be obtained. To gain approval, software developers and employers must send a draft or proof of the proposed form to HM Revenue & Customs, Customer Information Team, Room 54, 1st Floor New Wing, Somerset House, Strand, London, WC2R 1LB.
- A substitute P60 printed from an electronic P60 must state “this is a printed copy of an eP60” at the top of the form, next to the title “P60 End of Year Certificate”, in an acceptable font size, no smaller than 10 point.
- Duplicate certificates may continue to be issued to employees requesting them but, whether they are provided electronically or in paper form, they no longer need to be identified as “duplicates” – any P60 issued for an employee for a particular tax year will be a valid P60 and will not need to be distinguished from any other copy.
- If an amendment has to be made to a P60 that has already been issued, details of the amendment may be provided in a letter or on a new P60 marked “Replacement”, which may also be provided on paper or electronically.
When handling claims for repayments, HMRC will not accept copies of P60s attached to an email. A paper P60 must be provided or a printed copy of an electronic P60.
In October 2010, HMRC announced that the paper P14 for 2010/11, which very few employers are permitted to use, will be a two-part form, the second part of which is the P60 for the employee.
Also, in a separate announcement on 21 February, HMRC is considering redesigning the P60 for the 2011/12 tax year for ease of printing.