Have you been notified of a PAYE refund and ability to claim online?

HMRC have started reconciling 2022/23 tax positions and in some cases, letters are being issuing stating a tax refund is due which can be claimed online www.gov.uk/p800refund.

A personal tax account is required to be able to reclaim the tax. If you do not have a personal tax account with HMRC please ask us and we can provide you with information how to set one up.

When a claim is made, the refunds have been coming through very speedily – just 2 days from making the claim to money in the bank in some cases.

However – there is a caveat to this. HMRC systems are not totally “joined up” and there have been instances of PAYE refunds being made but a tax return is actually due to be filed!

HMRC will also use estimates of untaxed interest and dividend income, often based on information from several years ago. In many cases these figures will be within the limits at which tax is 0%, but if interest exceeds £1,000 (which may well happen with interest rates rising), or dividends exceed £2,000 in 2022/23 then HMRC should be contacted.

We recommend you let us have sight of any letters you receive before making the claims.