About PPI Tax Refund Claims?
When you made your PPI Claim, your pay-out was made up of the compensation (which consists of premiums paid and their interest) and the statutory interest on the compensation, at 8%.
The statutory interest element is the only part of the claim which is taxable in the tax year that you receive it, and not the tax years of when you was paying any premiums. The statutory interest is treated for tax purposes as savings income. In most cases, basic rate tax is deducted at source on the interest element of a PPI pay-out before it is paid to you. The tax is then passed to HMRC on your behalf.
But why could I be entitled to claim?
It’s possible that you may not be liable to pay tax on the PPI interest element, e.g. if when this is added to your other savings income for the tax year, the total is within your Personal Savings Allowance, or if your total taxable income is within your tax-free personal allowance (£12,500 in 2019/20). Then it is possible to claim back the tax which has been deducted at source.
At Gowing Law we can provide specialist advice in relation to claiming back the tax paid on your PPI claim, and help you recover the compensation you deserve.
How much will it cost me to claim?
At Gowing Law, all PPI Tax Refund claims are processed on a No Win No Fee basis. For a No Win No Fee claim, you don’t need to worry about anything as we will bare all upfront costs, and you will only need to pay a fee if your claim is successful, this means you will never be out of pocket.
How do I know if I have a claim?
In order to assess whether you have a claim, all you need to do is fill in the simple form by clicking Get Started below, or, on the right, and we will then do everything for you, review your case with our expertise and deal with HMRC on your behalf, the next thing that will happen is you will receive your payment! Its as easy as that! If we need any more information from you, we will contact you.
The more accurate you complete the form the quicker we can process your application for you
How long do I have to make my claim?
In most circumstances you normally have four years from the end of the tax year in which the overpayment arose to claim a refund.
So, in simple terms if you received your PPI refund in 2019/20, you have until 5 April 2024 to submit a claim. If the overpayment arose in 2015/16, you have until 5 April 2020 to put in your claim and so on.