The draft regulations for Real Time Information (RTI), published on 14 November 2011, included a proposal to abolish the P45/P46 forms when RTI is introduced. Instead, HM Revenue & Customs (HMRC) will be sent starter and leaver information when the regular RTI payroll return is sent to HMRC. The abolition of these forms is intended to make PAYE easier for employers to operate.
For the purposes of maintaining accurate in-year payments of tax across jobs, employees will instead be given a 'leaver statement' by their employer giving pay and tax details that they can provide to their next employer and retain for their own records.
Some employers and software developers have expressed concern over the proposal that employees could be given a leaver statement instead of a P45. HMRC are working with interested parties to explore these concerns and seek a way forward.