Overview
- FOI figures, reported Monday by outlets including City A.M. and The Independent, showed 178,180 HMRC refund cheques went uncashed last year, worth about £144 million or roughly £800 each.
- HMRC sends P800 tax calculation letters that tell people how to claim online, and if no action is taken within about three weeks a paper cheque is posted to the address on file.
- HMRC says it will start reviewing PAYE records for the 2025 to 2026 tax year in June and aims to finish by November, after which eligible customers can claim refunds through their personal tax accounts.
- Standard payments move faster online, with HMRC guidance saying online claims typically reach bank accounts within five working days and BACS repayments can take up to 10 working days, though some cases face security checks that can take up to 12 weeks.
- The department is shifting to digital repayments and says about 20% of customers are still on the old cheque-based process, with the switch targeted for completion by April 2027.