HMRC admits new pension tax refund form needs urgent redesign

It’s only been in use for a month but HMRC have admitted that they need to review the design of the new form P55 urgently as it implies that taxpayers cannot get an in-year tax refund in certain circumstances when in fact they are entitled to receive one within 30 days. The FT have highlighted the issue today in respect of a 71 year old who was told repeatedly on the phone by HMRC staff that she could claim a refund only to find the online form said the opposite.

HMRC only released the suite of refunds forms in April despite being told during the run up to the reforms being implemented that the deduction of emergency tax by pension payrolls in the absence of a current tax code would lead to surprising and unnecessary tax deductions for some individuals.

For details of the forms that are available see http://kateupcraft.com/?p=443