Banks causing delay in overpaid tax?

ARainyDay

Hi all
I am due overpaid tax for 2024/2025 due to being unemployed (and not receiving benefits) for a few months before starting a new job- the overpayment was not paid back through my PAYE wages because I started the new job in March and my tax code was not a cumulative one. I’m aware the website advises overpaid tax is normally paid between June-Oct. I rang HMRC today to check on the status and they’ve advised there is a delay in calculating the tax for 2024-2025 due to a delay from the banks in informing them if any tax is due on personal savings interest. Has anyone else experienced this? Previous years I’ve always got any refunds around July/Aug so I was a bit surprised to hear this. 

SiliconChip

There were massive delays in the 2023/4 tax year too, my simple assessment didn't get produced until the end of December 2024 and I've seen other people on here say their's were even later. I'd be wary of assigning the blame entirely to the banks, my experience is that the data was submitted more or less on time but it then took HMRC several months to complete the reconciliation. 

p00hsticks

I've just received last week a notification if underpaid tax and a subsequent adjustment to my tax code due to untaxed interest so they are gradually getting through them...

[Deleted User]

I still haven't received notification for 24/25 and in previous years I had the notification and or refund if applicable in July.

I think the delays are more likely with HMRC because of the volume ... 

Edited to add - HMRC were very quick to amend my tax code following receipt of the P11d my employer sent in July for taxable benefits which is fine and as I expected! 

Isthisforreal99

ARainyDay said:

Hi all
I am due overpaid tax for 2024/2025 due to being unemployed (and not receiving benefits) for a few months before starting a new job- the overpayment was not paid back through my PAYE wages because I started the new job in March and my tax code was not a cumulative one. I’m aware the website advises overpaid tax is normally paid between June-Oct. I rang HMRC today to check on the status and they’ve advised there is a delay in calculating the tax for 2024-2025 due to a delay from the banks in informing them if any tax is due on personal savings interest. Has anyone else experienced this? Previous years I’ve always got any refunds around July/Aug so I was a bit surprised to hear this. 

You will have your own records of savings interest you could send to HMRC?

penners324

I applied for my tax refund back in July and received it a week later. All done through the hmrc app

LITRG

Hi, it may be possible to prompt HMRC to issue the P800 via the normal helplines. In a situation where the delay in a refund is causing extreme hardship/you are vulnerable, HMRC's extra support team may be able to help: https://www.litrg.org.uk/tax-nic/getting-help-tax/hmrcs-extra-support-service