Realising you have overpaid tax is perhaps one of the most annoying things to happen.
But you can claim it back if you follow some simple steps. Here we briefly lay them out.
If you are due a tax rebate HMRC will let you know by sending you a letter called a P800.
P800 letters can also tell you that you haven’t paid enough tax, so don’t get too excited when one comes through your letter box.
You will only get a P800 after the tax year has ended in April – the letter won’t usually arrive till around September.
This letter will tell you if you can claim online through the government’s website.
If you claim online the money will be sent to your account in about five days.
Or you can wait for 45 days and the government will send you a cheque in the post.
If you don’t receive a P800 and think you have overpaid on your tax you can use the government’s income tax calculator to figure out how much you should of been paid.
If you pay tax through the PAYE system you may sometimes pay too much tax and notice this by looking at your payslip or P800.
There are various reasons for this, but the most common was being given an incorrect PAYE code – such as one called emergency tax which you may have been put on when you start a new job.
Here is everything you need to know about the new tax codes for 2018.
If you think you have overpaid tax through PAYE in the current tax year, tell HMRC before the end of the tax year – which was April 6 2018 – and tell them why you think you have paid too much.
You have four years from the end of the tax year in which the overpayment arose to claim a refund
The phone number is 0300 200 3300 and the website is here.
