If you have recently stopped working and previously paid your taxes regularly, you become eligible to claim tax back. You may have stopped working because you became unemployed, resumed your studies or because you have retired; in any of these scenarios, you can surely claim some tax back.
In the UK, a period from 6th April to 5th April the following year is known as a tax year. If you have stopped working at any point during a tax year, possibilities are that you may have paid too much tax. This can often happen if you paid your taxes as an employee through PAYE (Pay As You Earn).
Reasons why you may be due a tax rebate –
- If you were employed for half of the tax year - and did not get any taxable benefits for the remaining tax year after you stopped working
- You retired half way during a tax year
- Your employer put you on a wrong tax code
- You are a student and only worked during your holidays
Under any of the above circumstances, you become eligible to get a tax rebate. On the other hand, if you are self-employed, you need to make ‘payments on account’ for the next year’s tax bill.
Irrespective of whether you were self-employed or just normally employed before you stopped working, if you have paid too much tax, you can claim tax back for the overpaid amount. If you feel you have overpaid the taxes and are looking to claim tax back, attaining professional help can ease the entire process and ensure maximum returns.
