HMRC Clarifies Process for Overpaid Tax Refunds

HM Revenue and Customs issued a statement clarifying the process for taxpayers to claim overpaid tax following queries about delayed refunds. The tax authority explained that customers who overpaid through Pay As You Earn receive a P800 tax calculation letter, which provides instructions on how to claim funds through the official government website or the HMRC app.

Under rules implemented in May 2024, the agency no longer automatically issues refund cheques, requiring taxpayers to proactively request their money. The agency noted that the peak period for processing these refunds occurs between June and July.

Processing times vary by method. Refunds requested online are processed within five working days, whereas paper cheques can take up to six weeks to arrive.