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  • FIRST POST
    • mjane
    • By mjane 14th Sep 17, 2:44 PM
    • 2Posts
    • 1Thanks
    mjane
    Reclaiming tax on PPI refund
    • #1
    • 14th Sep 17, 2:44 PM
    Reclaiming tax on PPI refund 14th Sep 17 at 2:44 PM
    how do get get the tax back that i paid on a PPI refund?
Page 1
    • Moneyineptitude
    • By Moneyineptitude 14th Sep 17, 3:16 PM
    • 20,644 Posts
    • 11,500 Thanks
    Moneyineptitude
    • #2
    • 14th Sep 17, 3:16 PM
    • #2
    • 14th Sep 17, 3:16 PM
    If you are a non taxpayer then contact HMRC.

    However, as you are working illegally, I'm not sure that's such a wise idea.

    i am classed as a worker, cash in hand 50pw position. im not on the payroll as an employee
    Originally posted by mjane
    • Dazed and confused
    • By Dazed and confused 14th Sep 17, 7:53 PM
    • 2,711 Posts
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    Dazed and confused
    • #3
    • 14th Sep 17, 7:53 PM
    • #3
    • 14th Sep 17, 7:53 PM
    If you are a "worker" who completes a self assessment tax return you just need to include the PPI interest and tax deducted on your return as you would with any other interest and any refund due will come back to you when you send your tax return to HMRC.
    • Mersey
    • By Mersey 14th Sep 17, 10:13 PM
    • 1,662 Posts
    • 789 Thanks
    Mersey
    • #4
    • 14th Sep 17, 10:13 PM
    • #4
    • 14th Sep 17, 10:13 PM

    However, as you are working illegally, I'm not sure that's such a wise idea.
    Originally posted by Moneyineptitude


    There's nothing "illegal" about being paid cash in hand.


    Indeed the DWP's own site advertises some such jobs.


    Although you may wish to report an employer who you suspect isn't paying tax or NICs: www.gov.uk/report-cash-in-hand-pay


    Whilst the Taylor Review did recommend abolishing cash in hand, both the Govt and Select Committee rejected the same given the reliance on cash by groups such as childminders, cleaners, window cleaners, gardeners, handymen, paperboys and those in rural areas without banks or internet access.
    Please be polite to OPs and remember this is a site for Claimants and Appellants to seek redress against their bank, ex-boss or retailer. If they wanted morality or the view of the IoD or Bank they'd ask them.
    • Moneyineptitude
    • By Moneyineptitude 14th Sep 17, 11:56 PM
    • 20,644 Posts
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    Moneyineptitude
    • #5
    • 14th Sep 17, 11:56 PM
    • #5
    • 14th Sep 17, 11:56 PM
    There's nothing "illegal" about being paid cash in hand.
    Originally posted by Mersey
    There is if the "employee" is not on the official payroll (or also claiming government benefits).

    As we don't know either way, my advice that the OP might not want to bring this to the attention of HMRC still stands..
    Last edited by Moneyineptitude; 14-09-2017 at 11:58 PM.
    • Mersey
    • By Mersey 15th Sep 17, 11:21 PM
    • 1,662 Posts
    • 789 Thanks
    Mersey
    • #6
    • 15th Sep 17, 11:21 PM
    • #6
    • 15th Sep 17, 11:21 PM
    There is if the "employee" is not on the official payroll (or also claiming government benefits).

    As we don't know either way, my advice that the OP might not want to bring this to the attention of HMRC still stands..
    Originally posted by Moneyineptitude


    You admit you don't know...yet you assert the OP's "working illegally."


    If the employer is avoiding tax & NICs, then yes, that is them acting unlawfully.


    Nor would it be 'illegal' for the OP to claim Tax Credits or Universal Credit and be on a low income [the only exception being benefit fraud - but of course, there's no evidence of that by the OP either!]
    Please be polite to OPs and remember this is a site for Claimants and Appellants to seek redress against their bank, ex-boss or retailer. If they wanted morality or the view of the IoD or Bank they'd ask them.
    • Moneyineptitude
    • By Moneyineptitude 15th Sep 17, 11:56 PM
    • 20,644 Posts
    • 11,500 Thanks
    Moneyineptitude
    • #7
    • 15th Sep 17, 11:56 PM
    • #7
    • 15th Sep 17, 11:56 PM
    You admit you don't know...yet you assert the OP's "working illegally.
    Originally posted by Mersey
    Equally, you don't know that the opposite is the case, of course.

    The other thread from which the information is gleaned reached a similar dead end.

    As already stated, my comment that the OP might not want to bring this to the attention of HMRC will stand..
    • sun73
    • By sun73 17th Sep 17, 1:01 AM
    • 413 Posts
    • 129 Thanks
    sun73
    • #8
    • 17th Sep 17, 1:01 AM
    Reclaiming tax on ppl
    • #8
    • 17th Sep 17, 1:01 AM
    how do get get the tax back that i paid on a PPI refund?
    Originally posted by mjane
    Fill in HMRC claim form R40 either online or download and post, see gov.uk website
    • Dazed and confused
    • By Dazed and confused 17th Sep 17, 8:58 AM
    • 2,711 Posts
    • 1,310 Thanks
    Dazed and confused
    • #9
    • 17th Sep 17, 8:58 AM
    • #9
    • 17th Sep 17, 8:58 AM
    But if you are a "worker" who does (or should) complete self assessment returns then form R40 does not apply to you.
    • xeroxwizard
    • By xeroxwizard 5th Jun 18, 6:55 AM
    • 5 Posts
    • 1 Thanks
    xeroxwizard
    Which tax year applies?
    I finally managed to claim back under Plevin from EGG/Barclaycard. However the letter and enclosed cheque was apparently sent to my old address. When I eventually found this out (by putting in repeat claims) the advisor has now arranged for it to be paid direct into my bank account. There was a 61.63 deduction for income tax on the Statutory Compensation amount of 308.16. Date of the award letter was 24 February 2018. We are now in a new tax year where my income is state pension only. My income for the previous year was much higher as I was still working and paying tax. Should I try to claim back the 61.63 tax by treating the 308.16 as income for this current tax year or not? Grateful for any advice..
    Last edited by xeroxwizard; 06-06-2018 at 12:59 AM. Reason: I have not phrased the question correctly.
    • Dazed and confused
    • By Dazed and confused 5th Jun 18, 11:24 PM
    • 2,711 Posts
    • 1,310 Thanks
    Dazed and confused
    Should I try to claim back the 60 tax as income for this year or not?

    I doubt anyone on here is going to encourage fraud.

    But basic rate taxpayers can receive a maximum of 5,999 in taxable interest and be charged a 0% tax rate on it. Even if you were paying higher rate tax you can get 500 taxed at 0%.

    Tax of 60 indicates gross interest of 300 so highly likely no tax is due to be paid on it. This assumes you don't have any other interest and didn't have income of 150k+ last year.
    • xeroxwizard
    • By xeroxwizard 6th Jun 18, 12:52 AM
    • 5 Posts
    • 1 Thanks
    xeroxwizard
    Should I try to claim back the 60 tax as income for this year or not?

    I doubt anyone on here is going to encourage fraud.

    But basic rate taxpayers can receive a maximum of 5,999 in taxable interest and be charged a 0% tax rate on it. Even if you were paying higher rate tax you can get 500 taxed at 0%.

    Tax of 60 indicates gross interest of 300 so highly likely no tax is due to be paid on it. This assumes you don't have any other interest and didn't have income of 150k+ last year.
    Originally posted by Dazed and confused
    Thanks very much for your advice. Unfortunately I have not phrased my question correctly. Please accept my apologies. I have edited my original post. My main point is this: When does the payment become counted as income, the award date (tax year 2017-2018) OR the date that I eventually receive the money (tax year 2018-2019)? Again, I thank you for any help.
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