HMRC has rolled out a new online tool to help taxpayers reclaim overpaid tax on their pension. The Government has published a tool to help taxpayers claim a refund of fees paid. “The tool identifies the correct process for the taxpayer to follow based on their circumstances,” The Institute of Chartered Accountants reported. But people cannot claim online. Instead, a form must be filled in.
An individual can ask for a refund if they’ve stopped work and flexibly accessed all of their pension. Brits can also claim back Income Tax on a pension death benefit lump sum payment if they have stopped working.
They can also claim for cash back when if they have taken a small pension lump sum. Moreover, people can claim a tax refund when they’ve flexibly accessed all of their pension, and claim back Income Tax on a pension death benefit lump sum.
In addition, individuals are able to claim back tax on a flexibly accessed pension overpayment, and claim back Income Tax on a flexibly accessed pension death benefit payment. There are separate forms for each available to download online.
The Government says: “We’ll work out any repayment due to you. We’ll make the repayment by Faster Payments into a bank account held in your name or your nominee’s. At the end of the tax year we’ll check again to make sure we’ve refunded the correct amount and will contact you if this is different.”
People can check when they can expect a reply from HMRC to a query or request using the gov.uk website. This can be done in relation to: Child Benefit, Construction Industry Scheme (CIS), Corporation Tax, employers’ PAYE and Income Tax.
Officials can also consider queries regarding: Inheritance Tax, National Insurance, public services pensions remedy, Self Assessment (including Unique Taxpayer References (UTRs)), tax credits and VAT.
