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P60 Tax Refund Example

p60 tax refund

Your P60 form is an example of a vital tax document that is given to each employee at the end of the tax year (which runs each year from 6th April to 5th April). They essentially give you a summary each year of how much tax you paid and your total employment income for that tax year.

This official record is useful for individuals who may need to claim tax relief or a tax return when they have overpaid tax due to business expenses not yet being submitted to HMRC. By seeing the total tax paid, you can work out if you’ve paid too much tax.

From a business owner’s perspective, it’s vital that you provide a P60 form to every employee, as this is an important document and record that many employees will keep each year to compare tax paid and to bring up any discrepancies with HMRC. A P60 should be given to ALL employees – past and present. If an ex-employee completed work for you in the tax year that the P60 relates to, then they must receive one.

Below we’ll cover everything you need to know about P60s – what they’re for, who gets them, key details included, when you should receive it, and what to do if you don’t get one for some reason.

We’ll also outline what a P60 tax refund is, give some examples, and take you through the process of claiming money back.

What Is The P60 Tax Form?

Employers have to provide a P60 to each employee every year. It is an annual payroll statement summarising your total employment income and tax situation for the year – all the tax you have paid over the previous tax year.

This document is useful for comparing to previous years and is usually the main way employees notice tax discrepancies. It’s an official record of your income tax position.

P60 Quick Overview:

Purpose:The P60 documents your pay and tax details through PAYE.
What’s on it:Your total pay before tax, total income tax and National Insurance paid, employer details like PAYE reference, student loan deductions, statutory payments, etc.
When you get it:By 31st May after the end of the tax year it covers.

 

The key specifics shown on a P60 are:

  • Employer name and PAYE reference
  • Your National Insurance number
  • Taxable pay and total tax you paid
  • The tax code you were on

 

Most employers send out P60s via post or email by the 31st May deadline after the end of the tax year.

Do You Get A P60 When Self Employed?

If you’re self-employed then you won’t receive a P60 each year, as you’ll need to file a self assessment tax return which will help you to work out exactly how much tax you owe for the previous tax year.

So long as the information you include in your self assessment tax return is correct, then you won’t over or underpay tax.

A P60 is a document issued by an employer to all their employees – as you aren’t employed by anybody, you won’t receive a P60.

What Is A P60 Tax Refund?

P60 tax refund refers to money owed back to you based on the tax and income information shown on your P60 form.

There are two common reasons you might be due a refund:

  1. You overpaid tax, e.g. due to the wrong tax code
  2. You qualify for tax reliefs or allowances you didn’t claim such as tax credits throughout previous tax years

 

P60 Tax refund examples

Incorrect Tax CodeYou were put on an emergency tax code that took too much tax from your wages. The P60 will show excess tax paid that you can reclaim.
Job ChangeIf you switched employers mid-year, you might have overpaid one employer before leaving. The P60 helps work out any refund due by calculating the total tax deducted from your pay across all of your employments during the year.
Unclaimed ReliefsYour P60 helps identify tax reliefs you forgot to claim during the year, which can then be claimed back.

 

So in different situations, the P60 helps determine if a tax refund is owed to you and how much needs to be repaid.

Claiming A P60 Tax Refund

In order to claim a tax refund, you can do so as either a flat rate deduction or based on the expenses you have incurred as a result of your employment. If your claim for a tax refund is based on the expenses you’ve had to pay out of your personal pocket for work, then you should ensure you have receipts for all of the expenses so you can provide proof to HMRC.

Let’s explore the different ways to claim below:

Flat Rate Deductions

Flat rate deductions are actually government standardised tax relief payments offered to certain industries and professions. Some examples of these professions entitled to flat rate tax deductions include:

  • police
  • armed forces
  • agricultural workers
  • pilots
  • construction workers
  • fire service workers
  • health workers
  • prison staff

 

And far more besides. You can check out the full list and the amount of relief they’re entitled to on the UK Government’s guide to flat rate tax relief for different professions.

The reason certain professions receive these flat rate deductions is that the UK government know that there are certain work related expenses involved in these industries each year, and so rather than having millions of claims sent in each year, the government simply offer a flat rate deduction to each worker in these fields.

If you qualify, then you simply apply on the HMRC website for the flat rate deduction you’re entitled to, and you’ll receive a tax refund based on that amount.

Business Related Expenses

If you incur an expense as a direct result of performing your duties as part of your employment, then you’re entitled to claim back those expenses within 4 years of incurring the expense, which will, in turn, reduce the amount of tax you ought to have paid in the tax year, meaning you can claim a tax refund.

In order to claim you’ll need receipts for all work related expenses.

It’s also important to note that if you try to claim expenses that aren’t work related you may be caught out and you will receive a hefty fine for misleading HMRC and evading your tax responsibilities.

HMRC P60 tax refund

Who Gets A P60 Tax Statement?

As an employer, you should send a P60 to each of your employees every year so long as the following criteria applies to them for the tax year the P60 relates to:

  • Worked in the UK over the last tax year
  • Paid income tax and National Insurance (usually through PAYE)
  • Are registered with HMRC

 

Basically, if tax was deducted from a job, you’re entitled to a P60 statement.

What Information Appears On Your P60?

The P60 tax form summarises your employment and tax details, such as:

  • Total taxable pay
  • Total UK income tax you paid
  • Your tax code
  • National Insurance contributions
  • Other deductions like student loan repayment
  • Employer address and PAYE reference

 

It’s important to check these details against your own records to ensure accurate tax payment.

How Do You Claim A Refund With Your P60 Details?

If you think you’re owed a tax rebate, follow these steps:

  1. Review Your P60 – Identify any tax overpayments or unclaimed amounts
  2.  Contact HMRC – Notify them about the potential refund, quoting P60 info
  3. Submit Tax Return (If Needed) – More complex cases might require a Self Assessment tax return
  4. Await Response – HMRC will verify and process eligible refunds

 

You can also track refund progress online using HMRC’s services.

And it’s always wise to keep your P60 forms safe for at least 22 months in case there are any mistakes or changes that need to be made.

When Should You Get Your P60 Tax Document?

By law, employers must issue P60 statements to employees by the 31st May following the end of the tax year, which runs 6th April to 5th April. So you should receive your P60 covering the previous tax year by the end of May.

If it hasn’t arrived by early June, get in touch with your employer.

If you are an employer, it’s important to keep the 31st May deadline in mind, so that your employees know what to expect and can find any tax discrepancies for the year early.

How To Get A Replacement P60

If you need another copy of your P60 tax statement, contact your employer’s payroll or HR department – they can email or print it out for you again.

You can also request past P60 details directly from HMRC by phone or post. Just give them your employer name, tax year, and National Insurance number.

What If You Never Get Your P60?

First, speak to your employer and ask them to provide your missing P60 statement.

If that’s not possible for whatever reason, your final payslip for the year will have the same income and tax information needed to complete tax returns or manage your tax position.

In Summary

As an important document for your tax, employees should understand what P60s contain and their importance. Employers should also be aware of what’s required and when it is expected to ensure employees get all the information they need each year. Be sure to check your statement for accuracy and seek assistance if you’re owed a refund or have any other tax-related questions.

For a more in depth guide on the P60, please see our article “P60 meaning” by clicking here.

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