A UK tax refund is money the government returns to you because you paid more income tax than you owed

In the UK, a tax refund happens when you have overpaid income tax during a tax year. This can occur for several reasons: your employer deducted too much from your wages, you worked for multiple employers and paid tax twice on the same income, you claimed too few personal allowances, or you stopped work partway through the year but had already paid tax. The UK tax year runs from 6 April to 5 April the following year. HM Revenue & Customs (HMRC) is the government body that processes refunds.

A refund is not a payment you request or apply for in the way you might request a refund from a shop. Instead, HMRC calculates whether you overpaid when they review your tax record, either because you told them or because they noticed a discrepancy. Once HMRC confirms you overpaid, they send the money back to you automatically—usually to your bank account.

Key Takeaways

  • A tax refund occurs when you have paid more income tax to HMRC than your actual tax liability for the year.
  • HMRC will not refund money unless they know about the overpayment, so you may need to contact them or file a Self Assessment tax return.
  • Refunds are sent to your bank account by BACS transfer, which typically takes 5 to 10 working days after HMRC approves the refund.
  • If you worked for multiple employers in the same tax year, you may have paid emergency tax and be owed a refund without needing to file a return.
  • You can check whether HMRC owes you money by logging into your personal tax account online or calling the HMRC helpline.

When HMRC owes you money back

HMRC calculates your tax liability based on your income and personal allowance for the tax year. Your personal allowance is the amount you can earn before you owe any income tax. For the 2024–25 tax year, the standard personal allowance is £12,570. If your total income falls below this figure, you should not owe tax at all, yet your employer may have deducted it anyway.

The most common scenario is a student or young person working a part-time job whose employer deducted tax because they did not know about the personal allowance. Another common case is someone who left a job partway through the year: their employer may have calculated tax as if they worked the full year, leaving an overpayment. If you worked for two employers in the same tax year, you may have paid tax on income that should have been covered by one personal allowance, triggering a refund once HMRC reallocates it.

Retired people who stopped work and received a pension may also overpay if they had not informed their pension provider of their reduced income. Gift Aid on charitable donations can also create overpayments if your actual tax rate was lower than assumed.

How to tell HMRC you overpaid

HMRC will not refund money they do not know about. If you believe you overpaid, you have several routes to notify them. The fastest and most straightforward is to log into your personal tax account on the HMRC website using your Government Gateway login. Your tax account shows your income record, tax paid, and any refund due. If HMRC has already spotted the overpayment, it will appear there, and you can request the refund directly.

If you do not have a personal tax account, you can create one using your National Insurance number and postcode. Once logged in, navigate to the "Income tax" section and check your tax calculation. If you see a refund amount, select the option to request it. HMRC will then process the refund and send it to your bank account.

If your situation is more complex—for example, you worked for multiple employers or had self-employment income—you may need to file a Self Assessment tax return. You can file online through the HMRC website. Self Assessment returns must be filed by 31 January following the end of the tax year to avoid penalties. Once you file, HMRC will calculate whether you are owed a refund and process it automatically.

If you do not have internet access or prefer to speak to someone, you can call the HMRC Income Tax helpline. The number is 0300 200 3300. Lines are open Monday to Friday, 8 am to 6 pm. Have your National Insurance number ready when you call.

How long a refund takes

Once HMRC approves your refund, the money is sent to your bank account by BACS transfer. BACS transfers typically take 5 to 10 working days to reach your account. HMRC will send you a letter confirming the refund amount and the date it was sent. Keep this letter for your records.

The time it takes HMRC to approve the refund depends on how you notified them. If you requested it through your personal tax account and HMRC had already identified the overpayment, approval is usually immediate or within a few days. If you filed a Self Assessment return, HMRC may take several weeks to process it, especially during the busy January-to-April period when many people file returns.

If you filed a return late or your circumstances are unusual, processing may take longer. HMRC will write to you if they need more information before they can approve the refund. Do not assume the refund has been lost if it does not arrive within 10 working days; contact HMRC to check the status.

Checking the status of your refund

The quickest way to check whether a refund is on its way is to log into your personal tax account. The account shows your current tax position, any refunds due, and the date a refund was sent. If you see a refund listed but it has not arrived in your bank account after 10 working days, note the date shown in your tax account and contact HMRC.

When you call HMRC, have your National Insurance number and the date the refund was sent ready. HMRC can confirm whether the transfer was processed and, if it was, which bank account it was sent to. If the refund was sent to an old bank account you no longer use, HMRC can arrange for it to be recalled and resent to your current account, though this process takes additional time.

If you filed a Self Assessment return and want to check whether HMRC has processed it, you can also see this in your personal tax account under "Tax returns". The account will show the status as "received", "under review", or "complete".

Refunds for emergency tax and PAYE codes

Emergency tax is a temporary tax code used when HMRC does not have enough information about your income. It is commonly applied when you start a new job and your employer does not receive a P45 from your previous employer, or when you return to work after a break. Emergency tax assumes you have no personal allowance and deducts tax at the basic rate on all your income, which usually results in overpayment.

Once HMRC receives information about your full income for the year, they will correct your tax code and calculate a refund for the emergency tax you overpaid. This refund is often processed automatically without you needing to contact HMRC. You can check the status in your personal tax account or wait for a letter from HMRC confirming the refund.

If you believe your PAYE tax code is wrong—for example, it does not reflect a second job or a pension—you can contact HMRC to request a review. HMRC will recalculate your code and, if you overpaid as a result of the incorrect code, will issue a refund.

What to do if your refund does not arrive

If HMRC approved a refund and more than 10 working days have passed without the money reaching your bank account, contact HMRC immediately. Have the following information ready: your National Insurance number, the date HMRC said the refund was sent, and the amount. HMRC can trace the transfer and confirm whether it was processed.

In rare cases, a refund may have been sent to a bank account that no longer exists or that you do not have access to. If this has happened, HMRC can cancel the original transfer and resend the refund to your current account. This reprocessing typically takes an additional 5 to 10 working days.

If HMRC cannot locate the refund and it has been more than three months since it was sent, you may be able to claim it as a missing payment. Contact HMRC and ask them to investigate. Keep any letters or emails from HMRC confirming the refund amount and date sent, as these will help support your claim.

Frequently Asked Questions

Do I have to do anything to get a refund, or does HMRC send it automatically?

HMRC will not refund money unless they know you overpaid. If you worked for one employer and they deducted too much tax, you may need to contact HMRC or file a Self Assessment return to tell them. If HMRC has already spotted the overpayment in their records, they will contact you or you can request it through your personal tax account.

Can I get a refund if I worked for two employers in the same year?

Yes. When you work for multiple employers, each one may deduct tax as if you have a full personal allowance, resulting in overpayment. Once HMRC receives information from both employers (through P45 and P60 forms), they will recalculate your tax and issue a refund for the overpaid amount.

What if I do not have a bank account to receive the refund?

HMRC will normally send refunds by BACS transfer to a UK bank account. If you do not have a bank account, contact HMRC to discuss alternative arrangements. In some cases, they may be able to send a cheque, though this is less common and takes longer.

How far back can I claim a refund for?

You can claim a refund for up to four tax years back, provided you notify HMRC within that timeframe. If you overpaid tax more than four years ago, you may still be able to claim, but you should contact HMRC as soon as possible to discuss your specific situation.

Will I owe tax if I get a refund?

No. A refund means you overpaid tax in a previous year. Getting a refund does not create a new tax liability. However, make sure your tax situation is correct going forward so you do not overpay again in future years.