P32, P45, P46 & P60 Forms Explained
HMRC forms prefixed with a ‘P’ relate to payroll and together with SL forms (student loans) should be forwarded to your payroll processor. Similarly SA forms relate to self-assessment, CT to corporation tax, these forms should be forwarded to the accountant dealing with your tax affairs
P32 – Employer Payment Summary (EPS)
The P32 form is a summary of your monthly PAYE liability, showing:
- Income Tax
- National Insurance Contributions (NIC)
- Statutory payments recovered (e.g. SMP, SSP)
- Employment Allowance (if applicable)
- CIS deductions suffered (for construction clients)
Most modern payroll software submits the EPS electronically via Real Time Information (RTI). If you’ve claimed small employers’ relief or need to offset CIS tax suffered, an EPS must be submitted to inform HMRC.
EPS handles this submission for you and includes the P32 summary as part of your monthly payroll reports.
Starter Checklist (Previously P46)
The P46 form is no longer used. If a new employee joins your business and does not have a valid P45, they must complete a starter checklist. This provides:
- Personal details (name, date of birth, address)
- National Insurance Number
- Employment declaration (student loan, second job etc.)
We use this information to assign the correct tax code and complete your first Full Payment Submission (FPS) for the employee.
P60 – Year-End Summary for Employees
Every employee still employed on 5 April (end of the tax year) must be issued a P60. This form summarises:
- Total gross pay for the tax year
- Income tax paid
- National Insurance Contributions
- Student loan deductions (if applicable)
EPS issues P60s on your behalf after finalising the payroll for March. These are important for employee records, tax returns, mortgage applications and benefit claims.
P45 – When an Employee Leaves
A P45 is issued to an employee when they leave your employment. It shows:
- Tax paid to date in the current tax year
- Tax code
- Leaving date
- Gross pay
The P45 comes in four parts:
– Part 1 – sent directly to HMRC
– Parts 2 and 3 – given to the employee to give to their new employer
– Part 1A – for the employee to retain
Providing a P45 ensures smooth onboarding with their next employer and prevents emergency tax.
What You Need to Do
- – Send any HMRC forms you receive (P45, starter checklist, SL1 etc.) to EPS
- – Do not use outdated forms like the P46
- – Ensure leavers and new starters are reported promptly
We take care of all Real Time Information submissions and keep full digital records of forms issued and filed.