Who gets a tax refund in the UK
You are owed a tax refund if you have paid more income tax to HMRC (Her Majesty's Revenue and Customs) than you actually owed for the tax year. This happens most often to employees who have had too much tax taken from their wages, self-employed people who have overpaid, or anyone whose circumstances changed partway through the year.
The UK tax year runs from 6 April to 5 April the following year. HMRC calculates what you should have paid based on your total income for that full period. If your actual payments were higher, the difference is your refund.
You do not automatically receive a refund — you have to check whether one is owed to you and, in most cases, request it. HMRC will not contact you to tell you money is waiting.
Key Takeaways
- Check your tax position through your personal tax account on the HMRC website, which shows your tax code, payments made, and any refund owed.
- Employees can ask their employer to adjust their tax code if too much has been taken from wages, which stops overpayment before a refund is needed.
- Self-employed people and those with multiple income sources must file a Self Assessment tax return to claim a refund.
- Refunds typically take 4 to 8 weeks to arrive once HMRC has processed your claim, though complex cases can take longer.
- If you have not received a refund within the expected timeframe, you can contact HMRC directly using the reference number from your claim.
How to check if HMRC owes you money
The fastest way to check is through your personal tax account on the HMRC website. You will need your National Insurance number and a Government Gateway login. Once you log in, you can see your tax code, the tax paid so far in the current year, and whether a refund is due.
If you do not have a Government Gateway account, you can create one using your National Insurance number, postcode, and date of birth. The account takes a few minutes to set up and gives you access to your tax records immediately.
If you are employed and your employer uses PAYE (Pay As You Earn), your tax account will show your cumulative pay and tax deducted. If the tax deducted is more than your liability, the difference appears as a refund owed. For self-employed people, you will only see a refund position after you have filed your Self Assessment return.
Refunds for employees: fixing your tax code
Employees often overpay tax because their tax code is wrong. Your tax code tells your employer how much tax-free income you are may have access to to each year. If the code is too low, too much tax comes out of your wages.
Common reasons for wrong codes include: you have changed jobs and your previous employer's code was carried forward; you have income from more than one job; you receive a pension as well as wages; or you have claimed a work expense that HMRC has not yet recorded.
Rather than wait for a refund, you can contact HMRC and ask them to correct your tax code. Once corrected, your employer will adjust the tax taken from future wages. This is faster than claiming a refund because you stop overpaying immediately. You can report a wrong tax code through your personal tax account or by calling the HMRC helpline.
Refunds for self-employed people and multiple income sources
If you are self-employed, you must file a Self Assessment tax return to claim a refund. HMRC does not calculate your tax automatically — you report your income and expenses, and HMRC works out what you owe. If you have paid more through tax payments on account or other means, you claim the refund in your return.
The Self Assessment deadline is 31 January following the end of the tax year. For example, for the tax year ending 5 April 2024, the deadline to file is 31 January 2025. If you file online, you can file up to 31 January without a penalty, though filing earlier means you get your refund sooner.
You can file your return through the HMRC website, through tax software, or by post. Online filing is fastest because HMRC processes it more quickly and can issue a refund within weeks rather than months.
If you have income from multiple sources — for example, employment plus rental income, or employment plus self-employment — you must include all sources in a Self Assessment return to get an accurate refund calculation.
How long refunds take to arrive
Once HMRC has processed your claim, refunds usually take 4 to 8 weeks to reach your bank account. The timeline depends on how you claimed the refund and how complex your tax position is.
Refunds claimed through your personal tax account for straightforward PAYE cases (where you are employed and have no other income) tend to be faster — sometimes 2 to 4 weeks. Self Assessment refunds take longer because HMRC must process your full return first, which can take 4 to 8 weeks or more if the return is complex or requires checking.
HMRC will send you a letter confirming the refund amount and the date it will be paid. The letter includes a reference number you can use to track the payment if it does not arrive on time.
What to do if your refund is late
If your refund has not arrived within 8 weeks of your claim, contact HMRC using the reference number from your claim letter. You can do this through your personal tax account, by phone, or by post.
When you contact HMRC, have the following information ready: your National Insurance number, the tax year the refund relates to, the amount of the refund, and the date you submitted your claim. HMRC can then check the status of your payment and tell you whether it has been processed or if there is a delay.
Delays can happen if HMRC needs more information from you, if your claim contains an error, or if there is a backlog in processing. If HMRC has made an error, they will correct it and reissue the refund. If the delay is on your bank's side, HMRC can provide proof of payment to show your bank.
Refunds and VAT for international traders
If you arrived at this page from the VAT Refunds section, note that VAT refunds and income tax refunds are separate. A VAT refund is money back on sales tax you have paid on business purchases or exports. An income tax refund is money back on personal income tax you have overpaid.
If you are a business owner or self-employed person, you may be owed both. Your income tax refund comes through Self Assessment, while your VAT refund comes through your VAT return to HMRC. The two processes are separate and have different timelines.
Frequently Asked Questions
Can I claim a refund for a tax year that ended more than four years ago?
Generally, no. HMRC has a four-year time limit for refund claims in most cases. If you are owed a refund for a tax year that ended more than four years ago, you cannot claim it unless there are exceptional circumstances. Check the date of the tax year in question before contacting HMRC.
What if I have moved house or changed my bank details?
Update your address and bank details in your personal tax account before you claim a refund. HMRC will use the bank details on file to send the payment. If you have recently moved, make sure your address is current so HMRC can contact you if needed. You can update these details online at any time.
Do I have to pay tax on the refund itself?
No. A tax refund is money you overpaid — it is not new income and is not taxed. HMRC sends the full amount you are owed without deducting anything further.
What if HMRC says I owe tax instead of a refund?
If your tax account shows a balance owed rather than a refund, you have underpaid tax. HMRC will tell you how much you owe and the deadline to pay. You can pay online through your personal tax account, by bank transfer, or by post. If you cannot pay in full, you can contact HMRC to discuss a payment plan.
Can I claim a refund if I am not a UK resident?
Yes, but the process is different. Non-residents who have paid UK tax can claim a refund, but you must contact HMRC directly rather than using the online personal tax account. You will need to provide proof of your non-resident status and your tax records. Contact the HMRC Non-Resident team for guidance on your specific situation.