To create a P45 for an employee who you haven't paid in the current tax year, update the employee with zero values.

Then, follow the leaver process and submit a full payment submission (FPS).

Check employee status

If the employee's status is currently On hold, change their status to OK.

1. Double-click the employee on your employee list.
2. Go to the Employment tab.
3. If the Status dropdown says On Hold, change it to OK.
   • If it's already set to OK, select Close then skip ahead to the next section
4. Select Save, then Close.

Update the records with zero values

1. Click Payroll then click Change Process Date.
2. Check the process date is the current pay period you're running.
3. Double-click the employee and click the Employment tab.
4. Make sure the tax code is 0T.
5. Select the Week 1/Month 1 Basis checkbox.
6. Click Save, then click Close.
7. Select the required employee then click Enter Payments.
8. Check all values appear as zero.
9. Select the Select this checkbox if your employee is leaving and this is their final payment checkbox.
10. Click OK then click Save/Next.
11. Click Close then click Update Records.
12. Click Yes then click Next.
13. Click Next then, if required, click Next.
14. Click Finish then click OK.

Make the employee a leaver

1. Select the required employee then click Employee.
2. Click Leaver then click Next.
3. Enter the leaving date then run the required reports.
4. Click Finish then click Yes.

When you next Submit the full payment submission (FPS), this notifies HMRC that the employee's left.