help claiming tax back from PPI

November2

Advice welcome. Filled in the form via Martin's link for my Father who is retired. Under section 3 I put the name of the building society the PPI was paid into and the three figures they asked for, the gross amount, the tax paid and the nett amount. Under the interest received section I put in zero as my Fathers account is an old Liquid Gold and doesn't pay any interest!

Today I've received a form from HM Revenue stating our records show you have untaxed interest for 2018-2019 for Bank/Building Society. It is asking for names of banks and interest received.

Is this form related to his tax claim? Is it because I put in zero? I've just discovered looking through his papers he has an old TSB account which he had forgotten about, it has around £70 in it and he's been receiving a few pennies in interest on it for several years.

Any ideas? why would they say 'their records show he has untaxed interest' What records are they talking about?

meer53

The interest received figure they're asking for is the interest your Father received on the PPI amount he was paid. It will be listed separately on the letter he received with his payout. He also needs to let them know of any other interest he has received from other savings accounts he has, most people can claim back the tax paid on interest up to £1000 per tax year.

November2

Thankyou. Just looking at the form and it says 'our records show you have untaxed interest for the 2018 to 2019 tax year' but my Father's PPI refund was July 2019, how does that fall into the 2018-2019 year, I thought it went April to April? Also its asking for the name of the bank, acct number, sort code that paid the interest but my Father doesn't have an account with Lloyds who paid the PPI refund. The only account number he has is the original loan account. It was paid into his Halifax which pays no interest as its a very old account!

He received £940.78, gross interest £1,306.78 and taxed £261.36 = £1986.20 total refund Its the £261.36 I'm trying to claim back.

I first filled the form in wrongly and received a letter saying I had not noted any tax investment income for tax year 2019 - 2020, so filled it in again giving them the PPI refund details in that section. Heard nothing from them but received this form in the post today

meer53

Have a read of this

https://blog.moneysavingexpert.com/2019/04/martin-lewis--had-a-ppi-payout---if-so-you-can-reclaim-the-tax-o/?_ga=2.261315336.463320167.1570616528-934647945.1543687685

November2

Hi, thanks, read it before filling in form then read it again when re-filling in form. I'm afraid it doesn't help, form is too complicated as I have no idea where the PPI details are supposed to be recorded!

First time, I filled in his pension details and left the other sections blank, received a letter saying 'not noted any tax investment income for 2019-2020, so filled it in again putting the PPI details in that section. Haven't heard anything back but now received a letter saying he has taxable interest for 2018-2019 tax year!

It doesn't make any sense. My Father is retired gets the state pension and a small private pension, receives no interest on his bank accts. Does not pay tax.
I don't understand why this form is talking about 2018-2019. I can only assume I've filled in his PPI tax reclaim form wrongly again.

meer53

You said your Dad received interest on an old account, put the interest earned on that account on the form. If the PPI payout was before April 5 2019, this figure falls into Tax year 18/19, if it was received after April 5 2019 it will fall in the tax year 19/20. I've found HMRC quite helpful through their Livechat option, try that for help if you still don't understand, or give them a call.

November2

Hi, thank you. Payout was this year July 2019 that's why receiving a form asking about interest for 2018-2019 is so confusing. Think I might have to contact them as I don't think I filled in the claim form correctly again.