Following the recent pension regulation changes in April 2015, HMRC has introduced a new tax form which aims to simplify the process of reclaiming any overpaid tax.
According to recent reports, rather than helping pension savers reclaim 30 day refunds on any overpaid tax (provided that they had accessed their pension pots after 6 April), the new form has created much confusion. As a result, a number of complaints have been made claiming the form to be ‘misleading’ and ‘badly worded’.
One interaction between pensioner and HMRC has been widely documented. The pensioner noted that the form “…cannot be used to reclaim tax if the person is taking more than one payment in a year, which I intended to do. This is clearly stated on the form”. The terse response from HMRC stated “I can confirm that it is possible to use form p55 to ask for a repayment”.
The tax authority has released a series of apologies to individuals and has assured customers that updates to the tax form will be undertaken as soon as possible.
We will keep you updated on any developments. In the meantime, if you have any queries regarding your tax affairs please do get in touch.