I bet the the previous (P45) Pay and Tax were entered on their payroll and they just left the Tax Credit and COP as is, i.e. 50% of full allowance. Just insure that Revenue know you want to transfer all your allowances to the one employer. The payroll will refund the extra tax once the correct figures are entered. Classic case of the payroll clerk not understanding the system.
Towger.
BTW. It should not cause a cash flow problem (unless there are only one or two employees), as the employer just pays €800 *less* PAYE to Collector General at the end of the month. I don't think I would want to be working for a company where €800 causes a cashflow problem.!!