It is thought that many British families may be paying more tax than necessary. HMRC has recently sent out an alert asking people to check whether they might be due a refund. This may affect around a million people, with the average amount owed each year being about £473.
Why do people pay too much tax?
Nobody wants to pay too much tax, but it can sometimes occur when they change jobs, income, or move to a new tax code. A P800 tax calculation letter is usually issued in these circumstances, explaining how to claim the refund. This can also be checked using the Government Gateway account, the HMRC mobile app, or through checking the tax code, which can be found on pension statements or pay slips.
If you are unsure about any aspects of tax, take professional advice. You can easily find accountants in your area with an internet search. For example, a search for Worcester accountants will include local accountants, like https://www.randall-payne.co.uk/services/accountancy/worcester-accountants.
How much am I owed?
The amount owed will vary from person to person. You can claim a refund online, with the money owed usually arriving in your bank account within a few days of processing. While the average refund is £473 this year, your claim can date back four years, with amounts adding up to thousands of pounds.
Be wary of scams
Scams around tax refunds are common, often taking the form of a phone call, text, or email requesting upfront payment or sensitive information before issuing a refund. These will be fraudulent communications.
