PPI Tax reclaim

[Deleted User]

Dazed_and_C0nfused said:

Was it definitely HMRC and not a claims company?

Yeah, it's certainly very  unusual for HMRC to be described as "amazing". 

The OP  can now probably expect a bill along with the tax refund for seemingly allowing a third party to do it for him ...

spaniel-lover

Dazed_and_C0nfused said:

spaniel-lover said:

What about people on means-tested ESA? I agree that the R40 looks complicated. 

Do you actually have a question?

Do you actually have any manners?

Dazed_and_C0nfused

spaniel-lover said:

Dazed_and_C0nfused said:

spaniel-lover said:

What about people on means-tested ESA? I agree that the R40 looks complicated. 

Do you actually have a question?

Do you actually have any manners?

Plenty.  But this post didn't really make sense

What about people on means-tested ESA? I agree that the R40 looks complicated. 

tracyk

Hello,
I had a couple of PPI payouts in this tax year - do I need to wait until I get my P60 in April before I can claim some of the tax back?

Dazed_and_C0nfused

Either your P60 or final payslip of the year.

dean1234

Hi, sorry to hijack the thread but felt bad starting another for the same issue and I'm so confused.
I got a PPI payout of £3,426.25 in January 2019.
I read the guide on MSE and filled in the R40 based on what I understood.   I then received a tax refund of £53.02 nased on the figures I provided on the R40.

However I saw Martin Lewis on ITV last week and a woman phoned in and from what he said on that I'm now thinking I filled the form out wrong and could have got more?

Can anyone help?  Here are the full details -

I am a basic rate tax-payer. 
I had £0 savings that tax year.
My PPI Claim was for £3,426.25
On the letter informing me of my refund is says -  "Included in your refund is 8% interest.  HMRC will deduct 20% tax from this 8%.  You may be entitled to claim this tax back by contacting HMRC."


So... that's what i did.  I claimed back for 20% of the 8%  (8% of 3426 = 274.08 and 20% of that = £54.81)  so not sure why I got £53.02 but that's irrelevant I'm not bothered about £1.79.  lol

But since seeing Martin on TV and this other ladies example, I'm not thinking I should have got a lot more?  
Would HMRC have taken 20% tax off the full PPI claim, as well as off the 8% interest?  Could I have claimed for that too?

20% of £3426 = £685.  Could I have claimed for that?

Or did I do it right in the first place and I just got confused by what Martin said on TV?

Thanks in advance for any help.
Regards
Dean

[Deleted User]

No, you did it completely wrong. You needed to work with the figure that equated to the 8% interest you received on the redress.  That figure would have been in the breakdown from the lender.

Tax is only charged on the 8% statutory interest.

dean1234

Deleted_User said:

No, you did it completely wrong. You needed to work with the figure that equated to the 8% interest you received on the redress.  That figure would have been in the breakdown from the lender.

Isn't that what I did?  8% of the full claim value being the interest I received.  So I claimed back 20% of that.

And no it wasn't broken down on the letter from the lender.  The only thing it said was the text I put above.

[Deleted User]

No.  It's not 8% of the redress.

It's the amount that equates to the 8% annual statutory interest of the redress.  That could be any amount, depending on how far back the premiums go.

Ask the lender for the figure.

dean1234

ahh ok.  Thanks for that.  Will give them a call.