Thousands of workers across the United Kingdom are discovering unexpected financial boosts arriving in their post, as HM Revenue and Customs (HMRC) dispatches letters confirming eligibility for tax refunds.
What the HMRC Letters Mean for You
The correspondence from the government's tax authority informs recipients that they have overpaid on their taxes and are due money back. The average refund amount is a substantial £473. This situation can arise for a wide variety of reasons, with a common cause being an incorrect tax code, which dictates how much income tax is deducted from wages through the PAYE system.
Both self-employed and fully employed workers could be recipients of this welcome news. HMRC has taken to social media to raise awareness, stating on X (formerly Twitter): "Received a letter saying you have a tax refund to claim? There could be an average of £473 waiting for you."
How and When to Claim Your Money
If you receive a letter, the process to claim your refund is designed to be straightforward. You can claim it quickly online via the official HMRC app. This digital tool not only facilitates the refund process but also allows you to check your tax code, National Insurance number, and benefits information.
For those who are self-employed, the app provides additional functionality, enabling you to make self-assessment tax payments or set up payment reminders.
It is crucial to be aware of the deadlines for claiming. Workers due an overpayment from the 2021/22 tax year have until April 5, 2026, to submit a claim. For overpayments made in the 2024/25 tax year, the deadline is April 5, 2029.
Staying Safe from Refund Scams
HMRC has issued a clear warning to the public to be vigilant against fraud. The department will not contact customers about tax refunds via email, text, WhatsApp, or phone calls. Any such communication should be treated with extreme suspicion.
If you are unsure about a message you have received or wish to check if you have overpaid tax without receiving a letter, you can double-check directly through HMRC's secure online service or the HMRC app. This proactive step can ensure you don't miss out on money you are rightfully owed while keeping your personal and financial information safe.
