HMRC refunds overpaid income tax automatically in some cases, but not all. If you are employed or receive a pension and paid too much through PAYE, HMRC normally sends a tax calculation letter (a P800) between June and March after the tax year ends. If that letter says you can claim online, the money usually arrives within 5 working days. Other overpayments only come back if you claim them: job expenses, tax taken from a pension withdrawal, and tax paid on savings when your income was low. Claims generally have to be made within 4 years of the end of the tax year concerned. That means 5 April 2027 is the last day to claim for 2022/23. Below we cover how to check whether you are owed money, which route to use, and how long each one takes.
Do HMRC automatically refund overpaid tax?
Partly. HMRC reconciles PAYE records after each 5 April. If you were on the wrong tax code, were paid by an old and a new employer in the same month, started receiving a pension from work, or received certain benefits, the reconciliation should pick up the overpayment and generate a P800. That process is automatic, but it only covers income HMRC already knows about. It will not find expenses you never claimed, reliefs you did not tell HMRC about, or tax deducted by a pension provider part-way through the year.
Self Assessment works differently. There is no P800. Your account is adjusted when you file or amend your return, and a credit shows on your statement, which you then ask HMRC to repay. HMRC may hold back a refund if you have tax due in the next 45 days, such as a payment on account, and set the credit against it instead. A refund shown as "pending" has been created but not yet approved and paid.
Checking whether you are owed a refund
- Personal tax account or HMRC app. This shows your personal allowance, tax code and the tax you have paid so far this year. You can also claim a P800 refund through it. It is the quickest place to start;
- Compare your P60 with your code. If tax deducted looks high for your pay, check the code was right all year. Our guide to how much a pensioner can earn tax-free covers the State Pension coding issues that often cause over-deduction;
- HMRC's "check how to claim a tax refund" tool. It directs you to the right route for overpaid tax on pay, job expenses, redundancy pay, savings interest, foreign income and other sources. It does not make the claim for you.
The main routes and how long they take
| Situation | How to claim | Published timing |
|---|---|---|
| P800 says you can claim online | Online bank transfer service, personal tax account or HMRC app | Within 5 working days |
| P800 claim by cheque | Request a cheque online | Within 6 weeks |
| P800 says a cheque will be sent | Nothing to do | Within 14 days of the letter date |
| Stopped working mid-year, not starting a new job | Form P50 (online or post) | Reply may take 14 days |
| Tax taken from a pension withdrawal | Online, or P55, P53, P53Z or P50Z by post | Paid by Faster Payments once processed |
| Tax paid on savings with low income | Self Assessment, contact HMRC, or form R40 | See HMRC's reply-times tool |
| Overpaid via Self Assessment | Amend the return or request repayment of a credit | See HMRC's reply-times tool |
For anything not covered by a fixed timescale, HMRC's "check when you can expect a reply" tool gives current processing times by type of request. HMRC updates it weekly, and it is a better guide than any rule of thumb.
Claims you have to make yourself
- Job expenses. Employees can claim relief for unreimbursed costs such as cleaning or replacing a uniform, small tools, approved professional fees and subscriptions, vehicles used for work, and travel. Relief is given at your tax rate, not as a refund of the full cost. Current-year claims usually come through your tax code; earlier years through a code change or a refund;
- Working from home: earlier years only. From 6 April 2026, employees can no longer claim relief for additional household costs of working from home. The Finance Act 2026 removed the deduction. Claims for the previous 4 tax years remain possible, including at the flat £6 a week, where you were required to work from home rather than choosing to;
- Pension flexible access. A flexible withdrawal can have too much tax deducted. HMRC's forms are P55 (overpayment on a flexibly accessed pension), P53Z (you have flexibly accessed all of your pension), P50Z (you have flexibly accessed all of it and stopped work) and P53 (a small pension lump sum). HMRC warns that using the wrong form can delay the refund, so use its online checker first. If you do not claim, HMRC checks the position after the tax year ends;
- Savings interest. If tax was paid on interest when your total income was below your allowances, claim within 4 years. Form R40 suits people whose savings income is £10,000 or less and who are not in Self Assessment. See our guide to the personal savings allowance;
- Marriage Allowance. Eligible couples can backdate a claim to 6 April 2022. The 2022/23 year therefore drops out after 5 April 2027;
- Self Assessment errors. You can amend a return within 12 months of the filing deadline. For 2024/25 that is 31 January 2027. After that, overpayment relief is available by written claim up to 4 years after the end of the tax year, with a signed declaration that the details are correct and complete.
Interest on refunds
Where HMRC repays tax late, repayment interest may be added. It is set at Bank of England base rate minus 1%, with a floor of 0.5%. That is well below the rate HMRC charges on late payments, so a refund is not a savings product. Claim it promptly.
Practical points
Make sure HMRC has your current address. Claiming online to a UK bank account is faster than waiting for a cheque. Keep evidence for anything you claim: HMRC can ask for receipts, and for working-from-home claims it asks for evidence that you had to work from home. If a P800 shows you owe tax rather than being owed it, HMRC will usually collect it through next year's tax code if you owe less than £3,000 and have enough PAYE income. Check the figures before accepting them.
Most refunds are simple. Where several years or several income sources are involved, such as pension drawdown, savings, a mid-year job change and a Self Assessment record, it is worth reconstructing each year properly before claiming. Acumon prepares income tax returns and refund claims, and our Self Assessment service handles amendments and overpayment relief claims.