Income tax refund

[V40TC]

If you are due a refund,
how is it paid via previous employers pension scheme?
(no return to work)

is it as a lump or by amending tax code over an extended period?

I did not ask the tax office yesterday and they are closed today.

I was hoping for a cheque/Bank transfer but told that was not the method as pension payments in place.

[Stay in Bed Instead]

Usually tax refunds are paid to the tax payer via BACS or cheque.

[anonymous-user]

I thought that,

• Pension is paid through PAYE
• The taxpayer will therefore have a tax code, and
• Unless a tax return has been completed and the "Please send me a cheque if I'm due a refund" box has been ticked then HMRC will endeavour to correct things simply by adjusting future tax codes.

[V40TC]

I will call them again Monday
As I do not wish to wait for years to recover the Over payment of Tax.

The adviser said I would be paid via the Pension provider (previous employer)
I did not clarify if it would be as a lump sum though.

[anonymous-user]

V40TC said:

I will call them again Monday
As I do not wish to wait for years to recover the Over payment of Tax.

You'll end up waiting years on the phone.
Fooook me they are useless at picking up.

[V40TC]

24mins on Saturday.
My own fault I should have clarified the repayment details.

[fridaypassion]

Its definitely cheque/bacs my mate is a contractor and gets a refund each year due to tax deducted at source.

[Eric Mc]

It can vary quite a lot how HMRC repays overpaid tax.

If a person is Self Employed and completes an annual Self Assessment tax return then most often, HMRC will give the refund through a BACS or cheque payment.

If the person is mainly taxed under PAYE and does not normally complete a tax return, then HMRC will usually refund the tax by adjusting the individual's PAYE Tax Code - which means the PAYE they are paying on their current salary goes down.

At any time a taxpayer can contact HMRC and ask them how they want tax overpaid repaid to them.

[V40TC]

I have a feeling the method they are suggesting is lower tax code and lower tax being paid on Pension payments.
but this would take years to cover the over payment of tax, So I will call and request a chq or Bacs .
They confirmed in principal the over payment amount.
I am assuming I can decline tax code amendment and ask for ££ straight back as I would rather I have the ££ than wait years to recoup over payments from the PAYE system that I was taxed under.

Edited by V40TC on Sunday 1st March 19:05

[V40TC]

In year ( as in before tax year end) repayments are only made via :
current employer or
pension provider if not employed.
As a lump sum not just amending tax code.
after 5th of april the p800 and tax reconciliation would take effect.

Confirmed with HMRC this AM.
this is for my own scenario.

[Drumroll]

If it's pension that has been overpaid then you will need to fill in a P55 (available online)

[V40TC]

Not just tax on pension,
Tax was on Income.
taxed at 40%.
additional tax on Pension from date pension started.

I will see what the next payment looks like from Pension provider.

Gov.tax reckon it will inc full over payment of tax.