A brown envelope arrives in your letterbox, not with demands, but with a promise of a HMRC refund.
As the 2023-24 tax year wraps up, HMRC is reviewing millions of taxpayer accounts to ensure everyone has paid just the right amount of tax.
If you’ve overpaid, you’re in for a treat, with refunds averaging around £689!
(Read Time: Approx. 2 minutes)
Topics Discussed:
- HMRC’s refund initiative for overpaid taxes
- The importance of checking your tax status as the financial year ends
Why You Could Be Owed Money
Changes in employment, marital status, or even simple payroll errors can lead to overpaid taxes.
With the end of the tax year upon us, HMRC’s letters could bring good news to many; a welcome change to the usual dread you may feel upon seeing that brown envelope.
There’s a catch though – you need to manually claim it.
How to Claim Your Refund
If HMRC owes you, they’ll let you know through a P800 or Simple Assessment letter.
This isn’t an automatic refund; you need to act by verifying your details online.
Ensure you have your Government Gateway ID, National Insurance number, and a recent payslip or P60 handy.
Following these steps could see the money in your account within two weeks.
Do note; it’s worth checking your account anyway, as you may have missed out on previous year’s tax refunds, or your letter may not have arrived.
The Bigger Picture
Research by Canada Life puts the average tax refund at £689, though the actual figure could vary.
The sum could be lower or greater depending on your income, or any changes in financial circumstances you’ve had through the tax year.
Given these numbers, it’s clear why keeping an eye on your tax affairs can be financially beneficial.
Avoiding Future Tax Discrepancies
While the prospect of a HMRC refund is welcome, the ultimate goal should be accurate tax payments.
Tools and consultations like those offered at www.taxexpert.co.uk can help taxpayers align their payments correctly, reducing the likelihood of future discrepancies.
It’s also possible that you owe HMRC money for the tax year, which can be for a multitude of reasons, including:
- Assigned an incorrect tax code due to HMRC possessing inaccurate income details
- Ended employment at one job and commenced another, receiving payment from both within the same month
- Were recipients of Employment and Support Allowance or Jobseeker’s Allowance
- Subject to taxation on your State Pension
- Have outstanding tax dues that cannot be directly deducted from your earnings
Conclusion: An Opportunity Not to Be Missed
As HMRC begins its annual review, the message is clear: check your letters and claim what you’re owed.
With an average refund of £689 at stake, it’s a financial oversight you wouldn’t want to make.
Need to make sure your tax is calculated correctly for next year?
Visit us at www.taxexpert.co.uk for our help, and to ensure your taxes are recorded correctly. Together, let’s ensure you’re not missing out on a well-deserved refund.
Contact us today at 01772 788200 to find out more about how we can help, or WhatsApp us out-of-hours at 07787 010190.
Sending an e-mail is simple too, just fill out this short form and we’ll get back to you!
Kind regards,
Ilyas Patel