ppi tax refund

billybong40

I am in full time employment and am in receipt of two pensions, about £500pm.

billybong40

PS. I had a net £4,062.45 and £833.59 refund and the tax deducted was £589.03 and £79.22 respectively

Dazed_and_C0nfused

You are only likely to get a maximum of £200 back, less if you have any normal untaxed interest.

[Deleted User]

Dazed_and_C0nfused said:

You are only likely to get a maximum of £200 back, less if you have any normal untaxed interest.

Just for my own knowledge, why is it £200 not the £1000 quoted on the HMRC site as tax free interest earnings?

Dazed_and_C0nfused

Deleted_User said:

Dazed_and_C0nfused said:

You are only likely to get a maximum of £200 back, less if you have any normal untaxed interest.

Just for my own knowledge, why is it £200 not the £1000 quoted on the HMRC site as tax free interest earnings?

It is £1,000 taxed at 0%.

So if you  have received say £3,000 interest and paid £600 tax on it  the calculation for a lot of people would be,
£1,000 x 0% = £0.00
£2,000 x 20% = £400.00

Total tax due £400.00
Tax paid £600.00
Tax overpaid £200.00