Which form shows the gross income paid to the employee and the amount of tax deducted from their earnings at the end of the tax year?

Which form shows the gross income paid to the employee and the amount of tax deducted from their earnings at the end of the tax year?

• A. Form P12
• B. Form P21
• C. Form P60
• D. Form P45

Answer: (C)

The form that provides an annual summary of what you were paid and how much tax was taken is the P60. It’s issued by your employer at the end of the tax year and shows your total gross pay for the year, the total tax you paid, and other deductions. This keeps a clear record of how much income you earned and how much tax you’ve already contributed, which you often need for things like loan applications or proving income for credits or benefits. Other forms have different uses. A P45 is given when you leave a job and shows what you earned and paid up to your leaving date, not the whole year. A P12 relates to your tax credits allocation to your employer, not an annual earnings/tax summary. A P21 is a separate Revenue computation or balancing notice, not the year-end employee earnings statement.

The form that provides an annual summary of what you were paid and how much tax was taken is the P60. It’s issued by your employer at the end of the tax year and shows your total gross pay for the year, the total tax you paid, and other deductions. This keeps a clear record of how much income you earned and how much tax you’ve already contributed, which you often need for things like loan applications or proving income for credits or benefits.

Other forms have different uses. A P45 is given when you leave a job and shows what you earned and paid up to your leaving date, not the whole year. A P12 relates to your tax credits allocation to your employer, not an annual earnings/tax summary. A P21 is a separate Revenue computation or balancing notice, not the year-end employee earnings statement.