Millions of Brits could be owed money as HMRC to send refund letters after tax 'mistakes'
Normally if you're getting a letter from HMRC it's going to be anything but pleasant, there are few who'd enjoy the taxman getting in touch about something.
However, when the topic of the day is a tax refund that's an altogether different story.
According to the Daily Express, finance specialists RIFT have calculated that around 7.6 million Brits could be sent letters delivering the good news that a refund is on the way as result of 'mistakes' in the system.
To be one of those lucky souls you'll likely need to be on PAYE (pay as you earn) where your employer sorts out your tax before giving you your wages.
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Sorry people who are self employed, but the majority of people who could be getting one of these letters saying they've paid too much tax and are in line for a refund are PAYE folks.
Each year between June and the end of November, the government sends out millions of P800 letters, which will either tell you to good news that you're in line for a refund or the bad news that you owe more money than you thought.
Managing director of RIFT, Bradley Post, said as per MEN: "HMRC’s PAYE system is an extraordinary machine of tax collection, but it isn’t perfect and millions of mistakes are made every year.
"However, HMRC’s internal check and balances system means that it often spots these mistakes in hindsight and does all it can to ensure people are either refunded, or top up what they owe.”
There are a number of reasons why you might have paid more tax than expected.
Among the most common reasons are you being put into the wrong tax code because HMRC had the wrong information about how much money you made.
Then, of course, there's the situation that arises if you switched jobs in the middle of a month and were paid by both companies for that chunk.
Meanwhile if you started receiving a pension at work or received Employment and Support Allowance (ESA) that could also affect it.
If you get your P800, it'll tell you how you to get your refund, letting you know whether you'll automatically be sent a cheque or if you've got to fill in some forms online.
Of course, you don't have to wait around for a letter to come through your door if you think you've paid more tax than you ought to.
Brits can always get in touch with HMRC themselves to try and sort things out on that front, though be prepared for them to say you're actually not in line for any sort of refund.
Sadly, this particular topic is one much beloved by scammers as HMRC have warned that each year thousands of fraudulent letters are sent out telling Brits they're owed money.
If you're not sure whether the letter sent to you is a scam or not it's always worth reaching out to HMRC themselves to ask if you have a tax rebate coming your way.
Joe Harker