How to claim back Tax Overpayment on Drawdown via SA

tim123456789

Well, grammatically, I did want to reclaim the overpaid tax, I just did it via SA rather than a process called "refund overpaid tax …"

And I did it that way because I know that all figures that I include in that process will be "full and final". Whereas some figures on the P55 might be guesses (or missing completely) resulting in a back and forth with HMRC to get the amount due at YE correct.

And the process for the P55 says that might happen: "We’ll make checks at the end of the tax year and contact you if the amount is different.".

As to the question, It appears that HMRC will adjust the amount due at YE once you have started the P55 process, without you having to fill in a SA return for the year.

But I think it will not do this adjustment automatically if you don't do one or the other - P55 or SA.

One other thing, Annoyingly, HMRC have adjusted my Tax Code for 2026/7 to reflect the assumption that I will drawdown another 30K from my pension in this current year, despite my ticking all of the boxes to say that this was a one-off. This doesn't actually affect me as I have no income that is subject to PAYE during the year, but could adversely affect my monthly income if I did.

Veloflyer

https://forums.moneysavingexpert.com/discussion/comment/81954741#Comment_81954741

Many thanks for clarifying - P55 it seems to be then - as I don't want to SA unless I have to. I sympathize with your last para. They did this to me a few years ago on assuming my pension contributions were similar year on year - despite me writing to them twice telling them otherwise. I had reduced them and did not want a huge tax bill sometime in the future when they claimed it all back.

tim123456789

bank statement just arrived and it seems I got my refund on April 14th

I was expecting text/email to tell me, but no. Just the money in my account

😀