PAYE65030 - employment maintenance: employment agencies: receipt of form P46 - agency worker
When an agency worker ceases to work for one agency to take
employment with another agency, a form P45 should be requested.
In the majority of cases this does not happen because
- Registration does not guarantee paid employment
And
- It is possible to register for work with more than one agency simultaneously
Many agency workers remain on several agency books at the same
time, working for whichever agency offers a paid contract.
What happens in practice is
- The agency worker starts a new job or registers with another agency, without a P45
- Form P46 will usually be completed with Statement B ticked and signed
- Processing Offices have difficulty deciding which office should have responsibility for the taxpayer main source record
In order to prevent the unnecessary movement of records and
subsequent production of forms P43(T) a 'workaround' has been
devised to counteract the problems caused by agency workers who are
registered with more than one agency or have a live claim to
Jobseekers Allowance
The ‘workaround’ applies to
- Form P46 Statement B cases where a live main source record has been found at another Processing Office
And
- Forms P45(3) where the previous PAYE reference shown on the form is different to the reference shown on the main source record
‘Work around’
Where you find a live taxpayer record relating to another
agency employment you should
- Not use Function MA to transfer the record
Instead
- Create a sub source record
And
- Code Personal Allowance on Week 1 basis
To deal with Forms P46 / P45(3) in these circumstances follow
the guidance at
PAYE65031.
Notes:
