Starting a new job in Ireland should be an exciting fresh start, but for thousands of workers each year, it becomes a frustrating experience when they're placed on emergency tax because they don't have their P45 from their previous employer. This situation can dramatically reduce your take-home pay and leave you wondering how to get your money back. If you've found yourself on emergency tax due to P45 issues, understanding how this works and what steps to take is crucial to securing the refund you're entitled to.
Why Your Missing P45 Triggers Emergency Tax
When you start a new job in Ireland, your employer needs specific information to process your payroll correctly and apply your tax credits. This information typically comes from either your P45 (issued by your previous employer when you leave) or a Revenue Payroll Notification (RPN) accessed through Revenue's system. Without these documents, your employer has no legal way to know your correct tax status, forcing them to apply emergency tax rates as a default position.
The P45 is critical because it contains your year-to-date earnings, tax paid, and your tax credit allocation up to your leaving date. When this document doesn't reach your new employer in time—whether it's delayed, lost, or your previous employer hasn't issued it yet—you'll automatically be placed on emergency tax from day one of your new position.
Understanding Emergency Tax Rates When You Don't Have a P45
Emergency tax in Ireland operates on a specific week-by-week basis that can severely impact your income:
Week 1-4: You'll be taxed at 20% on earnings up to €769.23 per week (the standard rate cut-off point divided by 52 weeks), with any amount above this taxed at 40%. However, you won't receive your full personal tax credit allocation of €3,550 annually (€68.27 weekly), meaning you'll pay more tax than necessary even at the lower rate.
Week 5 onwards: The situation worsens significantly. After four weeks on emergency tax, you'll be taxed at 40% on your entire gross income with no standard rate band applying at all. This means every euro you earn is taxed at the higher rate.
Additionally, USC (Universal Social Charge) and PRSI still apply on top of these emergency tax rates, further reducing your take-home pay during this period.
Real Examples: How Emergency Tax Without a P45 Affects Your Pay
Example 1: Retail Manager Starting New Position
Sarah earns €45,000 annually (€3,750 monthly) as a retail manager. Her previous employer was slow issuing her P45, and she started her new job without it. In her first month on emergency tax (weeks 1-4), she paid approximately €950 in income tax instead of the €520 she should have paid with her correct tax credits. Over three months before resolving the issue, Sarah overpaid €1,290 in income tax alone.
Example 2: Construction Worker Between Contracts
Michael, a construction worker earning €680 per week, didn't receive his P45 when his contract ended unexpectedly. Starting a new site job without it, he was placed on emergency tax. For the first four weeks, he paid around €110 weekly in income tax instead of approximately €55. After week five, his weekly tax jumped to €272, costing him an additional €217 per week. Over an eight-week period, Michael overpaid €1,102 that he was entitled to claim back.
Example 3: Office Administrator With Job Gap
Emma took a two-month break between jobs and misplaced her P45 during a house move. Earning €38,000 annually (€731 weekly), she started her new role without providing the document. During weeks 1-4, she paid approximately €78 weekly instead of €39. From week 5 onwards, her tax jumped to €292 per week. By the time the situation was corrected after ten weeks, Emma had overpaid €1,404 in income tax.
What to Do Immediately When Starting Without Your P45
If you're starting a new job and don't have your P45, taking immediate action can minimize the financial impact:
Contact Your Previous Employer: Request your P45 urgently if they haven't provided it. By law, they must issue this document when you leave employment, but delays do happen, especially in smaller businesses or during busy periods.
Register with Revenue: If you cannot obtain your P45 quickly, contact Revenue directly to update your employment details. You can do this through your myAccount portal, though professional assistance ensures this is handled correctly and expedites the process.
Inform Your New Employer: Let them know you're aware of the P45 issue and that you're taking steps to resolve it. Provide them with your PPS number and previous employment details so they can access your Revenue Payroll Notification (RPN) once your records are updated.
Document Everything: Keep records of your payslips showing emergency tax, along with dates of when you contacted your previous employer and Revenue. This documentation is valuable when claiming your refund.
How Long Emergency Tax Lasts Without a P45
The duration of emergency tax depends on how quickly the underlying issue is resolved. Typical emergency tax situations last anywhere from two weeks to three months. If your previous employer issues your P45 and you provide it to your new employer promptly, the situation can be corrected within one to two pay cycles. However, if there are complications—such as your previous employer being unresponsive or going out of business—the resolution takes considerably longer.
Many workers remain on emergency tax for extended periods simply because they're unaware of the steps needed or feel overwhelmed by the process. Professional tax assistance ensures your case is handled efficiently, with experts who understand exactly how to navigate Revenue's systems and resolve P45-related emergency tax situations quickly.
Claiming Your Emergency Tax Refund
Once your tax situation is corrected, you're entitled to a full refund of the overpaid tax. The refund process involves Revenue reviewing your actual earnings against what you should have paid with your correct tax credits and standard rate cut-off point applied.
For workers who've been on emergency tax for several weeks or months due to P45 issues, typical refunds range from €500 to €1,500, though amounts can be significantly higher depending on your salary level and how long you remained on emergency tax. Some workers with higher incomes who spent two to three months on emergency tax have received refunds exceeding €3,000.
Professional tax specialists can expedite your refund claim by ensuring all documentation is properly submitted, calculations are accurate, and any discrepancies are promptly addressed. They handle all communication with Revenue on your behalf, removing the stress and confusion from the process while maximizing your refund amount.
Frequently Asked Questions
What happens if my previous employer refuses to give me my P45?
Your previous employer is legally obligated to provide your P45 when you cease employment. If they refuse or fail to issue it, you can contact Revenue directly with your employment details, and they can assist in obtaining the necessary information from your former employer. Professional tax advisors can also intervene on your behalf, as they have established channels for resolving these disputes efficiently.
Can I get emergency tax back if I've been on it for several months?
Yes, absolutely. There's no time limit that prevents you from claiming back overpaid emergency tax once your tax affairs are corrected. Whether you've been on emergency tax for one month or six months, you're entitled to a full refund of the difference between what you paid and what you should have paid with your correct tax treatment applied.
Will my emergency tax automatically correct itself eventually?
No, emergency tax rarely corrects itself automatically. Your employer will continue applying emergency tax rates until they receive either your P45 or an updated Revenue Payroll Notification showing your correct tax credits and cut-off point. You must take active steps—either by providing your P45 or updating your details with Revenue—to end the emergency tax situation.
How is my refund calculated if I was only on emergency tax for part of the year?
Your refund is calculated by comparing the actual tax you paid during the emergency tax period against what you should have paid with your correct annual tax credits and standard rate cut-off point applied proportionally to that period. Revenue's calculation takes into account your full tax year position, ensuring you receive every euro you're owed.
Does emergency tax affect my take-home pay more in some months than others?
Yes, significantly. Emergency tax is particularly punishing after the first four weeks. If you remain on emergency tax beyond week four without your P45 situation resolved, you'll see a dramatic drop in take-home pay as the 40% rate applies to all your income. This makes resolving P45 issues quickly absolutely critical to your financial wellbeing.
Get Your Emergency Tax Refund with Expert Help
Dealing with emergency tax because of P45 issues is frustrating enough without having to navigate Revenue's systems and procedures on your own. At MyTaxRebate.ie, our tax specialists have helped thousands of Irish workers recover emergency tax overpayments quickly and efficiently, with typical refunds of €500-€1,500 returned to our clients.
We handle every aspect of your claim—from liaising with Revenue to ensuring all calculations are accurate and maximized. Our professional service means you don't have to worry about forms, deadlines, or complicated tax regulations. We do the work while you receive the refund you're entitled to.
Don't leave money on the table. If you've been placed on emergency tax because you didn't have your P45, you could be owed hundreds or even thousands of euros. Start your claim today with MyTaxRebate.ie and let our experts secure the maximum refund for you. Our no-refund, no-fee guarantee means you have nothing to lose and potentially €1,500 or more to gain.