{"id":202842,"date":"2025-10-15T22:50:07","date_gmt":"2025-10-15T22:50:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/202842\/"},"modified":"2025-10-15T22:50:07","modified_gmt":"2025-10-15T22:50:07","slug":"state-pensioners-given-3815-each-with-one-hmrc-claim-personal-finance-finance","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/202842\/","title":{"rendered":"State pensioners given \u00a33,815 each with one HMRC claim | Personal Finance | Finance"},"content":{"rendered":"

You could get a huge \u00a33,815 back from HMRC after some retirees have been temporarily shortchanged. The error impacts retirees making flexible withdrawals from their pensions<\/a>.<\/p>\n

Experts at AJ Bell say that pensioners<\/a> could have been shortchanged by over a billion pounds in total due to a quirk in HMRC<\/a>\u2019s systems. AJ Bell says that figures showed that in April, May and June this year Brits reclaimed \u00a349million of money where they have overpaid tax on their pension<\/a> withdrawals.<\/p>\n

Nearly 13,000 reclaim forms were processed, with an average reclaim of \u00a33,815.<\/p>\n

This took the total amount of reclaimed tax to \u00a31.5billion since 2015, when the problem first began.<\/p>\n

However, the figures only capture those who fill in the relevant HMRC<\/a> reclaim form.<\/p>\n

Many Brits rely on HMRC<\/a> to sort their end-of-year tax to get their money back. If you have been overtaxed, you can get your money back.<\/p>\n

If you\u2019re planning to take a single withdrawal in a tax year, you can avoid being overtaxed by taking a notional withdrawal first.<\/p>\n

This is when you make a small transaction which will be coded with the tax code for that \u201cMonth One\u201d withdrawal.<\/p>\n

Following this, HMRC<\/a> should be able to issue the correct tax code to the second, bigger withdrawal.<\/p>\n

However, if your pension provider only allows you to remove a larger amount, you might still need to claim the tax back on that amount.<\/p>\n

If you\u2019d rather claim the money back a different way, you can make your first withdrawal and then fill out a HMRC<\/a> form.<\/p>\n

After filling out the form, you should get your money back in 30 days.<\/p>\n

Finally, if you don\u2019t do this, HMRC<\/a> should put you back in the right tax position at the end of the financial year.<\/p>\n","protected":false},"excerpt":{"rendered":"You could get a huge \u00a33,815 back from HMRC after some retirees have been temporarily shortchanged. The error…\n","protected":false},"author":2,"featured_media":202843,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[84,4176,2218,82013,4174,4175,2221,2899,87805,56,54,55],"class_list":["post-202842","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-finance","tag-hmrc","tag-pension-withdrawals","tag-personal-finance","tag-personalfinance","tag-state-pension","tag-state-pensioners","tag-tax-reclaim","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/202842","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=202842"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/202842\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/202843"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=202842"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=202842"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=202842"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}