PAYE and refunds

Sarahspangles

This is a question about the mechanics of reclaiming tax overpaid.

I understand the easy answer is "HMRC will eventually sort this" but I'm currently owed over £3k and rising.

2023/24 - Earnings took me into the (English) higher rate tax band. My SIPP contributions were sufficient to increase the basic rate band and take me out of higher rate tax. I wrote to HMRC with proof of contributions, and they marked this correspondence as 'complete' in the app in early August.

However I'm still waiting for a refund of the higher rate tax paid, and also tax paid on savings interest as my personal savings allowance was reduced.

Do I just need to be patient and look out for a P800 by the end of November? It's later than in earlier years. Confession: I have complicated things because I slightly overpaid into my SIPP, but as soon as I noticed I informed my SIPP provider and the small amount of excess tax relief has now been returned to HMRC. I'm wondering if this has put me to the bottom of HMRC's in tray.

2024/25 - I'm still a higher rate tax payer.  My notice of coding has been adjusted twice since April to deduct more tax at 40% this year, and from savings.

Is there an acceptable way to evidence SIPP contributions to HMRC in-year, rather than waiting for an Annual Statement after the end of the tax year?

As I'm retiring after this year, I'd like to start next year 'straight', with the standard personal allowance, and no tax owing either way.

Hoenir

Still awaiting my personal tax reconciliation for 23/24. Somebody has to be be last. 

badmemory

Hoenir said:

Still awaiting my personal tax reconciliation for 23/24. Somebody has to be be last. 

Me too.  It is already 3 months later than usual.  Still give it another couple of weeks & it won't be due until February rather than January.  Pity no-one seems to have figured out that if you bring a lot of new people into needing to pay tax then you need to employ more people to sort it.  It has been getting worse for years.  It would help of course if the assessments were right.  Last year I actually paid too much because frankly it really wasn't worth the hassle to sort it.  Not very MSE but sometimes life is just too short.

TheSpectator

Did you notify HMRC of the revised SIPP contribution after you  notified the SIPP provider.

I'm yet to receive my calculation as well, I suspect due to waiting on interest details to feed through from various financial institutions.

Sarahspangles

TheSpectator said:

Did you notify HMRC of the revised SIPP contribution after you  notified the SIPP provider.

I'm yet to receive my calculation as well, I suspect due to waiting on interest details to feed through from various financial institutions.

I haven't, I assumed it might confuse matters.  Maybe I should?

TheSpectator

Sarahspangles said:

TheSpectator said:

Did you notify HMRC of the revised SIPP contribution after you  notified the SIPP provider.

I'm yet to receive my calculation as well, I suspect due to waiting on interest details to feed through from various financial institutions.

I haven't, I assumed it might confuse matters.  Maybe I should?

Yes, or they will work on your initial, now incorrect figure.

sheramber

badmemory said:

Hoenir said:

Still awaiting my personal tax reconciliation for 23/24. Somebody has to be be last. 

Me too.  It is already 3 months later than usual.  Still give it another couple of weeks & it won't be due until February rather than January.  Pity no-one seems to have figured out that if you bring a lot of new people into needing to pay tax then you need to employ more people to sort it.  It has been getting worse for years.  It would help of course if the assessments were right.  Last year I actually paid too much because frankly it really wasn't worth the hassle to sort it.  Not very MSE but sometimes life is just too short.

Those who dictate the money availab
ble for staff wages are not those who change the tax parameters.

No joined up thinking.

Sarahspangles

TheSpectator said:

Sarahspangles said:

TheSpectator said:

Did you notify HMRC of the revised SIPP contribution after you  notified the SIPP provider.

I'm yet to receive my calculation as well, I suspect due to waiting on interest details to feed through from various financial institutions.

I haven't, I assumed it might confuse matters.  Maybe I should?

Yes, or they will work on your initial, now incorrect figure.

I've just talked to HMRC via the adviser chat - which worked well.  I do need to let them know, thanks!

jem16

badmemory said:

Hoenir said:

Still awaiting my personal tax reconciliation for 23/24. Somebody has to be be last. 

Me too.  It is already 3 months later than usual.  Still give it another couple of weeks & it won't be due until February rather than January.  Pity no-one seems to have figured out that if you bring a lot of new people into needing to pay tax then you need to employ more people to sort it.  It has been getting worse for years.  It would help of course if the assessments were right.  Last year I actually paid too much because frankly it really wasn't worth the hassle to sort it.  Not very MSE but sometimes life is just too short.

Still waiting on my Dad’s too. Usually it’s done around July but not this year. I had assumed it might be slightly complicated with regards to interest payments normally halved with my Mum. She died late March  and a large interest payment made to the joint account shortly after her death. I dare say HMRC will take it as being all Dad’s?

Sarahspangles

jem16 said:

badmemory said:

Hoenir said:

Still awaiting my personal tax reconciliation for 23/24. Somebody has to be be last. 

Me too.  It is already 3 months later than usual.  Still give it another couple of weeks & it won't be due until February rather than January.  Pity no-one seems to have figured out that if you bring a lot of new people into needing to pay tax then you need to employ more people to sort it.  It has been getting worse for years.  It would help of course if the assessments were right.  Last year I actually paid too much because frankly it really wasn't worth the hassle to sort it.  Not very MSE but sometimes life is just too short.

Still waiting on my Dad’s too. Usually it’s done around July but not this year. I had assumed it might be slightly complicated with regards to interest payments normally halved with my Mum. She died late March  and a large interest payment made to the joint account shortly after her death. I dare say HMRC will take it as being all Dad’s?

They may, but you can simply let HMRC know that’s not the case. That worked without hitches when we dealt with my FIL’s estate and joint/individual interest payments. When someone passes away they still get their full year’s personal allowances.

jem16

Sarahspangles said:

jem16 said:

badmemory said:

Hoenir said:

Still awaiting my personal tax reconciliation for 23/24. Somebody has to be be last. 

Me too.  It is already 3 months later than usual.  Still give it another couple of weeks & it won't be due until February rather than January.  Pity no-one seems to have figured out that if you bring a lot of new people into needing to pay tax then you need to employ more people to sort it.  It has been getting worse for years.  It would help of course if the assessments were right.  Last year I actually paid too much because frankly it really wasn't worth the hassle to sort it.  Not very MSE but sometimes life is just too short.

Still waiting on my Dad’s too. Usually it’s done around July but not this year. I had assumed it might be slightly complicated with regards to interest payments normally halved with my Mum. She died late March  and a large interest payment made to the joint account shortly after her death. I dare say HMRC will take it as being all Dad’s?

They may, but you can simply let HMRC know that’s not the case. That worked without hitches when we dealt with my FIL’s estate and joint/individual interest payments. When someone passes away they still get their full year’s personal allowances.

Yes I realise that. However, as far as I understand, interest becomes taxable when it becomes available which was after Mum died.