Tax Refund following partial Pension Drawn Down

VividFlame

After my initial tax free amount I have continued to ‘draw down’ relatively small amounts, every now and then, with basic rate income tax deducted at source, from a modest Pension Fund.

I keep receiving messages via social media telling me to reclaim the tax I have paid (by registering with the author of the message, of course !)

How can I check if I have actually paid too much tax ?
and why would this be so?

Thanks 

Marcon

VividFlame said:

After my initial tax free amount I have continued to ‘draw down’ relatively small amounts, every now and then, with basic rate income tax deducted at source, from a modest Pension Fund.

I keep receiving messages via social media telling me to reclaim the tax I have paid (by registering with the author of the message, of course !)

How can I check if I have actually paid too much tax ?
and why would this be so?

Thanks 

See https://www.moneysavingexpert.com/reclaim/overpaid-pension-tax/ or https://www.litrg.org.uk/pensions/pension-withdrawals/pensions-flexibility/how-tax-collected-flexible-pension-payments

Albermarle

For sure no need to pay any third party to do it.

Also if you do not do anything, you will eventually get a refund automatically a few months after the tax year ends.

ali_bear

Don't click on any of those links you receive unsolicited from parts unknown. 

molerat

What other income do you have and do you pay tax on that income ?

kempiejon

I thought we'd past the phase of being swayed by unsolicited stuff on social media.
I claim my tax back online using my tax account on the .gov website. If you give me your details I'll help you claim yours back for you, only £50+VAT.

Hoenir

VividFlame said:

After my initial tax free amount I have continued to ‘draw down’ relatively small amounts, every now and then, with basic rate income tax deducted at source, from a modest Pension Fund.

Then the amount of tax deducted is likely to be correct. Any overpayment will be refunded after the end of the tax year. Though you haven't said what other sources of taxable income that you have, if any. 

ukdw

Depends on other income and lump sums taken.

Assuming the new lump sum is completely within the 20% band - then any amount deducted greater than 20% would be emergency tax - and worth putting in a reclaim form on gov.uk )not via a third party).

I would always put the form in straight away as you won't get any interest on overpaid tax, plus leaving it to be refunded automatically next tax year might result in a temporary rise in next years income if they increase you tax code- which you might get used to.