HM Revenue and Customs is reminding taxpayers across the UK to check whether they are owed a tax refund, warning that up to one million people each year fail to reclaim money they have overpaid. The alert comes as HMRC encourages individuals to review their tax position and use its official app to manage refunds and payments more easily.
In a message posted on social media platform X, HMRC urged people to take action promptly, highlighting how simple it can be to check whether money is owed.
Reminder
HMRC stated that many taxpayers may be missing out on refunds without realising it. In its message, the department asked: “Could you be one of the million missing out on a tax refund?” It advised people to log into the HMRC app to review their details and claim any money they are owed.
The reminder is aimed particularly at employees and pensioners, as changes in income or tax codes can often result in overpayments during the tax year.
Process
According to guidance on the GOV.UK website, HMRC should usually contact you automatically if you have paid too much tax. If, by the end of the tax year on 5 April, you have overpaid or underpaid, HMRC will send one of the following:
| HMRC Letter Type | Purpose |
|---|---|
| P800 tax calculation | Explains overpaid or underpaid tax |
| Simple Assessment letter | Requests payment or explains refund |
These letters explain how to claim a refund or how to settle any tax owed.
Letters
Tax calculation and Simple Assessment letters are only sent to people who are employed or receive a pension. They are typically issued between June and March following the end of the tax year.
If you are registered for Self Assessment, the process is different. Any overpaid or underpaid tax is usually corrected automatically through your Self Assessment account. In these cases, you will not receive a P800 or Simple Assessment letter.
Reasons
There are several common reasons why people may overpay tax without realising it. These include being placed on the wrong tax code, often due to incorrect or outdated income information held by HMRC.
Overpayments can also happen if you leave one job and start another in the same month, begin receiving a workplace pension, or receive benefits such as Employment and Support Allowance or Jobseeker’s Allowance.
Claims
If you believe you have overpaid tax and have not received a tax calculation letter, you can still make a claim. Refunds can be requested online through GOV.UK, via the HMRC app, or by calling HMRC on 0300 200 3300.
HMRC advises taxpayers to avoid third-party refund companies and instead use official government services, which are free.
App
The HMRC app is being promoted as a central tool for managing tax affairs. In addition to checking whether you are owed a refund, the app allows users to carry out a wide range of tasks.
These include estimating how much tax you need to pay, making Self Assessment or Simple Assessment payments, setting payment reminders, and accessing Help to Save accounts. Users can also track correspondence, update personal details, store their National Insurance number digitally, and check for gaps in National Insurance contributions.
Access
To use the app, users need to sign in with their Government Gateway user ID and password. Those who do not already have an account can set one up directly through the app.
HMRC says keeping details up to date and checking tax records regularly can help prevent overpayments going unnoticed in future.
FAQs
How many people miss out on tax refunds each year?
HMRC estimates around one million people do not claim.
When does HMRC send tax calculation letters?
Usually between June and March after the tax year ends.
Who receives a P800 tax calculation?
Employees and people who receive a pension.
Can I claim a refund without a letter?
Yes, you can check and claim online or via the HMRC app.
