HMRC is prompting taxpayers throughout the UK to verify if they are eligible for a refund and has outlined the criteria for those entitled to receive money back.
Various factors could lead to individuals being owed a refund, such as issues related to pensions, employment income, or self-assessment tax filings.
In a message on Twitter, HM Revenue and Customs advised individuals to use the HMRC app for easy management of their finances and taxes if they believe they are owed a tax refund.
Recent reports suggest that even individuals born before 2011 should review their qualifications for refunds, as stated by ChronicleLive.
HMRC indicates that you might be eligible for a refund, known formally as a rebate, if you have overpaid tax. According to a 2022 Kantar report commissioned by HMRC, a significant number of people in the UK either overpay or underpay taxes annually.
The report highlights that HMRC issues a substantial number of P800 tax overpayment notifications to taxpayers each year, around 3.5 million in 2021.
A P800 notification informs taxpayers about any tax overpayments or underpayments. It includes details on whether additional tax is due or if a refund is applicable, specifying the amount involved and providing information on how the payment or refund will be processed.
HMRC’s website notes that individuals may be entitled to a tax refund if they have paid an excessive amount of tax. They can use a specific tool to determine the necessary steps if they have overpaid.
Taxpayers can also use the HMRC app, available for download on the App Store or Google Play, to check if they are owed a refund.
There are various situations where individuals might end up paying too much tax, including pensions, employment income, or self-assessment tax returns.