If only it was that simple. You of course have forms to fill out etc, but by the time your 3 month return is due you will have stopped Tax and NI from them and of course your NI contribution so you take what the tax man owes you from the money you owe him and write a cheque. If it is a large refund like i said you can apply and they will pay it straight into your bank account, but you ned the right forms!! It is a pain in the backside to start of but the best investment i made was payroll manager. about £30 for the year and it does it all for you saves a load of time. Not at the right computer to give you the link when i am i will send it to you.