Tax Rebates & Refunds

The right procedure for tax rebates and who is entitled to one

August 31, 2010
Posted in Tax Rebates — Written by Jennifer

Many people in the UK are eligible for tax rebates but they are not aware of it. The onus is on the taxpayer to file the claim for tax rebates.

Reasons for tax rebates

It is projected that one in every three people in the UK is due for a refund on their taxes but remain unaware about it. The reasons may seem too good to be true but there are many which entitle you to a tax rebate. Some of these are; working while you are studying, your employer uses the incorrect tax codes, employed in more than one job, working only for a few months in the year, living outside the UK for more than three months, changing from a part time job to a full time job and retiring.

Check the tax code

There are countless reasons why people end up over-paying on their taxes. Before you file for a tax rebate, it is important that you check the tax code which you can find on your PAYE (Pay as You Earn) coding notice or your pay slip. This helps to determine whether the tax code is right for you. If you think that you have been incorrectly coded, you can contact your employer’s tax office to change the code which will help you secure your tax rebates.

It will be difficult for you to claim tax rebates if you have retired or become unemployed. If you have to file a claim for overpaid taxes, you need to submit a statement of earnings form.

Statement of earnings

You will receive a statement of earnings at the end of every tax year. It is called a P60. If you resign from your job, you will receive a P45 that shows your income earned and the amount of tax withheld for the current tax year. Your employer should provide you with these documents as you are entitled to by law.

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