HMRC to amend tax refund form to avoid confusion
28 May 2015
The new form was issued a month ago following the government’s pension reforms. The reason it is causing confusion is because it is “badly worded” according to HM Revenue & Customs (HMRC). On 7 May, the Treasury revealed that it would update the form “as soon as possible”, after pensioners complained that the document was misleading.
According to the Financial Times, HMRC has apologised to 71 year-old Margarete Petrie after continually advising her to use the form to reclaim several thousands of pounds in overpaid tax. The problem was that the document stated that she was ineligible to use it due to her circumstances. “The P55 form cannot be used to reclaim tax if the person is taking more than one payment in the year, which I intended to do” said Ms. Petrie of Buckinghamshire.
The new P55 form was issued by HMRC on 6 April in order to help pension savers reclaim 30-day refunds on any overpaid tax if they had accessed their pension pots under the new freedoms.
If you find you are confused about any tax-related matters then do not hesitate to get in touch with us by email or on 0141 221 2984. We are here to help.