PAYE62031 - Employment maintenance: cease employment: capture cessation details (Action Guide)

When you are notified that employment has ceased follow steps 1- 13. This Guide is presented as follows.

Initial action Steps 1 - 3
Capture cessation details Steps 4 - 9
Tax table discrepancy Steps 10 - 13

Initial action

1. Select the EMPLOYMENT SUMMARY screen to view the relevant employment
2. View the entries in more detail by going to the EMPLOYMENT DETAILS screen
3. Before entering a cessation date or clearing a work item check the CONTACT HISTORY screen to view notes and to check previous actions taken

Top of page

Capture cessation details

4. Select the Edit Record icon next to the employment to be updated
 
  • Enter the full leaving details
5. If the tax code has been operated on a week 1 / month 1 basis
  Pay and tax figures must be entered into the Total pay in this employment and Total tax in this employment fields
  If the tax code has been operated on a cumulative basis
 
  • Pay and tax details must be entered into the Total pay to date and Total tax to date fields
  Note: When a cumulative code has been operated, Total pay in this employment and Total tax in this employment may also be completed if they differ from the Total pay to date and Total tax to date figures.
 
  • When all details have been entered press the [Submit] button
 
  • Update the CONTACT HISTORY screen to show action taken in accordance with PAYE105020 
6. If full leaving details have not been provided and the employment / pension ceased in CY
 
  • Set the potentially ceased indicator
 
  • Update Employment Estimated Earnings to the date of leaving in IABD
 
  • Update CONTACT HISTORY screen to show details which have been provided, in accordance with PAYE105020 
 
  • Consider if further action is required
  Note: If correspondence is received to show the latest employment has ceased you should await the P45 Part 1; the latest period of employment should not be potentially ceased, unless you have received details of a later employment source or occupational pension.Where correspondence is received to show the individual is receiving an occupational pension and that their latest employment has ceased, follow Step 6 as above, where P45 Part 1 details are not yet held.This does not apply when you are working work item 187. See PAYE13016 for further guidance.
7. If full leaving details have not been provided and the employment / pension ceased in an earlier year
 
  • Enter cessation source User
 
  • Enter the end date if known. If the end date is not known enter the last day of the tax year in which the employment ceased
8. Where the error message ‘The employment end date is after the employer cessation date’ is displayed and you are updating JSA employment
 
  • Select the Edit Record icon next to the JSA employment in the year the JSA employment is to be ceased
 
    • Take a note of the JSA employment start details and JSA works number
 
    • Select [Delete] and delete the employment
 
    • Update the CONTACT HISTORY screen to show action taken in accordance with PAYE105020 
 
  • Select the [Insert] button on the EMPLOYMENT SUMMARY screen
(This text has been withheld because of exemptions in the Freedom of Information Act 2000)
 
    • Insert the JSA employment start details and JSA works number
 
    • Set the potentially ceased indicator and [Save]
 
    • Update the CONTACT HISTORY screen to show action taken in accordance with PAYE105020 
9. Where the error message ‘The employment end date is after the employer cessation date’ is displayed and you are updating an employment
 
  • Select the Edit Record icon next to the employment in the year the employment scheme ceased
 
    • Enter the date of leaving and set the cessation source as ‘User’, [Save]
 
  • If the date of leaving is not known
 
    • Enter the date of leaving as the date the employment scheme ceased and set the cessation source as ‘User’, [Save]
 
  • If a date of leaving has been provided but it is after the employer scheme has ceased
 
    • Contact the Employer section to ensure the employment cessation date is accurate and update the record as required

Top of page

Tax table discrepancy

10. When you select the [Save] button the PAYE service will perform a tax table check. If a discrepancy is identified a message is displayed to either amend P45 part 1 or raise work item 45
 
  • Check if the correct details have been captured
11. If incorrect details have been captured
 
  • Press the [Cancel] button to return to the EMPLOYMENT SUMMARY screen
 
  • Select the Edit Record icon next to the newly ceased employment
 
  • Update incorrect entries
 
  • Press the [Save] button

If the cessation details are accepted

 
  • Update the CONTACT HISTORY screen with action taken in accordance with PAYE105020 

If cessation details still result in a tax table discrepancy

 
  • Press the [Save] button
 
  • See step 10
12. If the correct leaving details have been captured
 
  • Telephone the employer immediately to establish the reason for the discrepancy
 
  • Select the Edit Record icon next to the newly ceased employment, update incorrect entries
 
  • Press the [Save] button
 
  • Update the CONTACT HISTORY screen in accordance with PAYE105020 showing action taken and original P45 information supplied
13. If it is not possible to telephone the employer / pension provider
 
  • Write to the employer or pension provider to establish the reason for the discrepancy
 
  • Do not raise work item 45
 
  • Update the CONTACT HISTORY screen to show action taken in accordance with PAYE105020 

Home | Main Contents | Manual Contents
Previous Page | Next Page | Top | Menu