Overpaid Tax for 8yrs

Hello, hopefully this thread is in the right forum for some help...

Long story short I got paid more than the usual this month with no changes at all to my salary etc. Upon inspection I noticed my tax code had changed and after more digging, I realised it had changed to the 'normal' personal allowance code.

More digging found my tax code had been lower than the usual personal allowance for... years. Going back 8yrs and four different places of employment!

After a long time on the phone to HMRC and nearly a day working it all out, it all came from an employer I left in 2015. I had a company car there which was a BiK, and those details remained on my tax profile unchanged until a month or so ago. 

So I had a lower personal allowance amount, therefore paying more tax since 2015!

So I received a nice tax refund for the last 4yrs of overpayment which they say is as far back as they can go.

But thinking about it... that is a LOT of tax years they've closed without noticing this not changing my tax code. I've looked at my P60s and there is no mention of these old BiKs on there, so they didn't flag to me then. With my wage and code being what it was and constant, I didn't know my tax code to be incorrect until the change this month.

Do I have any recourse to go back to the tax office and ask for more of this overpayment back to me, beyond the 4yrs, considering their error had these BiKs on my file and I couldn't see them to correct things on my P60s?

I've essentially paid more tax I shouldn't have and it's lost to me forever now, for an error I didn't make. Is there any precedence for this?

Comments

  • Hello, hopefully this thread is in the right forum for some help...

    Long story short I got paid more than the usual this month with no changes at all to my salary etc. Upon inspection I noticed my tax code had changed and after more digging, I realised it had changed to the 'normal' personal allowance code.

    More digging found my tax code had been lower than the usual personal allowance for... years. Going back 8yrs and four different places of employment!

    After a long time on the phone to HMRC and nearly a day working it all out, it all came from an employer I left in 2015. I had a company car there which was a BiK, and those details remained on my tax profile unchanged until a month or so ago. 

    So I had a lower personal allowance amount, therefore paying more tax since 2015!

    So I received a nice tax refund for the last 4yrs of overpayment which they say is as far back as they can go.

    But thinking about it... that is a LOT of tax years they've closed without noticing this not changing my tax code. I've looked at my P60s and there is no mention of these old BiKs on there, so they didn't flag to me then. With my wage and code being what it was and constant, I didn't know my tax code to be incorrect until the change this month.

    Do I have any recourse to go back to the tax office and ask for more of this overpayment back to me, beyond the 4yrs, considering their error had these BiKs on my file and I couldn't see them to correct things on my P60s?

    I've essentially paid more tax I shouldn't have and it's lost to me forever now, for an error I didn't make. Is there any precedence for this?
    I wouldn't waste your time.

    If HMRC hadn't done this now you would have continued paying more tax than you think you need to.

    Moral of the story is keep tabs on your tax affairs.  Ultimately that is your responsibility.

    NB.  P11D benefits in kind aren't shown in a P60.  If you mean you had the standard tax code on those P60's then why do you think you have overpaid in those years 🤔
  • I think it’s worth an appeal.  There is an extra concession that might be applied if the fault lies with HMRC.

    As employers submit the P11D information with BIKs as part of the automated year end reporting, once they no longer appear it should have been a flag for your code to be reviewed.

    You might not be lucky but definitely worth a try!
  • Albermarle
    Albermarle Posts: 21,207
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    I think it’s worth an appeal.  There is an extra concession that might be applied if the fault lies with HMRC.

    As employers submit the P11D information with BIKs as part of the automated year end reporting, once they no longer appear it should have been a flag for your code to be reviewed.

    You might not be lucky but definitely worth a try!
    Worth a try maybe, but I think the answer will come back ' why did you not flag it up earlier, as it is your responsibility to check your tax codes'
  • I'm not sure what decision other posters think carries a right of appeal.

    Overpayment claims are restricted to the previous 4 tax years and if
    HMRC refuse to admit a late claim there is no right of appeal.

    Extra statutory concession B41 which I think one poster was alluding to, would only apply where it was beyond a person's control to make a claim in the normal time.

    I think HMRC would take the position that it was well within the OP's control to check his code and/or advise HMRC for the earlier years.

    There is no right of appeal against a decision to refuse to apply an extra statutory concession.


  • Dazed_and_C0nfused
    Dazed_and_C0nfused Posts: 12,809
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    edited 10 January at 3:47PM
    I'm not sure what decision other posters think carries a right of appeal.

    Overpayment claims are restricted to the previous 4 tax years and if
    HMRC refuse to admit a late claim there is no right of appeal.

    Extra statutory concession B41 which I think one poster was alluding to, would only apply where it was beyond a person's control to make a claim in the normal time.

    I think HMRC would take the position that it was well within the OP's control to check his code and/or advise HMRC for the earlier years.

    There is no right of appeal against a decision to refuse to apply an extra statutory concession.


    I suspect it's just a turn of phrase.

    As you rightly say there isn't actually anything to appeal against and the op has have everyone they're going to get.
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