'Total Pay' for PAYE vs. for USC on P45

Usjes

Hi,

I am trying to sort out a friend's tax return. She was PAYE but made redundant before being hired back as a contractor for a month or two and therefore must fill out a Form11 due to the contracting income. I am puzzled by the 'total Pay' listed on here P45 though, like my own P60s which I am used to dealing with it lists two 'Total Pay' values:
(i) One for PAYE purposes (which DOESN'T include my pension contributions)
(ii) Another for USC purposes (which DOES include my pension contributions)
Her payslips clearly show that she was making monthly pension contributions, yet the two 'Total Pay' values on her P45 show the same value and it INCLUDES the pension contributions. Is this incorrect or is there some reason why she would be taxed on her pension contributions in the year she was made redundant ?

Thanks,

Usjes.

srsly78

Ring the tax office and ask them.

Also, I am pretty sure it's frowned upon by Revenue to make someone redundant and then rehire them as a contractor. Is a way for employer to dodge their liabilities.

Usjes

srsly78 wrote: »

Ring the tax office and ask them.

Also, I am pretty sure it's frowned upon by Revenue to make someone redundant and then rehire them as a contractor. Is a way for employer to dodge their liabilities.

Why the revenue? My inclination was to contact her former employer, they would know about her pension contributions which presumably the revenue would have no knowledge of, it is the employer that issues the P45 right? Or is it the revenue ?

srsly78

Revenue knows best, but also ask your employer.