What is a P50 Form?
Updated: Jun 3
The P50 form is used to claim back overpaid tax from HMRC in the event that you have stopped working. If you have overpaid your tax and you don’t get any taxable income for four weeks, you can call HMRC and ask for a tax refund right away. This is the reason P50 is to be used.
The P50 form is a document provided by HM Revenue and Customs (HMRC) in the United Kingdom. It is used to claim a tax refund if you have stopped working or are earning below your personal allowance for the tax year. This form is typically used by those who have been made redundant, retired, or have stopped working for another reason. It is also used by those who have been working for only part of the tax year and have not used up their personal allowance. The form allows you to claim back any tax that you have overpaid during the tax year.
Form P50 is a form provided by HM Revenue and Customs (HMRC) in the United Kingdom that is used to claim a tax refund if you have stopped working or are earning below your personal allowance for the tax year.
The form is typically used by those who have been made redundant, retired, or have stopped working for another reason. It is also used by those who have been working for only part of the tax year and have not used up their personal allowance. The form allows you to claim back any tax that you have overpaid during the tax year.
What is the Best Time to Make Use of the P50 Form?
It is only possible to fill out this form after the 4th week of unemployment. There are many situations that fall under the P50:
● If you've returned to full-time study,
● If you're not sure you'll be returning to work
● If your unemployment has lasted for 4 weeks or more
● If you do not claim Jobseeker's allowance
When You Can't Apply for a Refund
There are certain circumstances where you cannot apply for a refund. This includes if you're receiving or will receive other taxable income such as a works pension from your old employer before the end of the tax year. You also can't apply if you're claiming certain benefits, such as Jobseeker’s Allowance (unless you’re claiming for National Insurance credits only), taxable Incapacity Benefit, Employment and Support Allowance, or Carer’s Allowance.
Why Do I Need to Fill in the Form?
Because of the method by which PAYE deductions are taken, You could be liable for tax payments when you stop working in the tax year. That's why you must fill out this form. The tax year begins on the 6th of April of one year and continues until the 5th of April of the following year.
There are many reasons to put off work during the tax years, including retirement or returning to school.
Where Can I Find the P50 Form?
How to Fill the Form P50?
The form P50 asks for your personal information and also details regarding your most recent employment. It also asks for your NI (national insurance) number. To fill out Form P50 in the UK, you should follow these steps:
Obtain the form: You can obtain Form P50 from the HMRC website or by calling the tax office.
Gather information: Before you start filling out the form, you will need to gather information about your employment status and income for the tax year in question. This includes your National Insurance number, details of your last employer, and any income you have received since leaving your job.
Fill out the form: The form is straightforward to complete. You will need to provide your personal details, including your name, address, and National Insurance number. You will also need to provide information about your last job, including the date you stopped working and the reason for leaving.
Provide income information: You will need to provide details of any income you have received since leaving your job, such as earnings from self-employment or other employment. This information will help HMRC to calculate any tax refund that you are owed.
Submit the form: Once you have completed the form, you should send it to HMRC along with any relevant documentation, such as your P45 from your previous employer. You can submit the form online or by post.
It is worth noting that it may take several weeks for HMRC to process your claim, so you should be patient. If you have any questions about the form or the process, you can contact HMRC for assistance.
How to Submit HMRC P50 Form: A Comprehensive Guide
Submitting the HMRC P50 form is a crucial step for individuals who are claiming a tax refund in the United Kingdom. The form is necessary for those who have stopped working or are unemployed for at least four weeks and have paid too much tax in the current tax year. In this article, we'll guide you through the process of completing and submitting the HMRC P50 form in a simple, human-like language, ensuring that you have a smooth experience.
Determine if you're eligible for the P50 form
Before beginning the process, you need to ensure that you meet the eligibility criteria for submitting the P50 form. The primary conditions are as follows:
a. You have stopped working, retired, or become unemployed and do not expect to work again for at least four weeks.
b. You have paid tax in the current tax year, but you believe that you have overpaid.
c. You're not claiming any taxable benefits, such as Jobseeker's Allowance or Employment and Support Allowance.
If you meet these criteria, you can proceed with the submission process.
Gather the necessary documents and information
To submit the P50 form, you'll need to have the following documents and information readily available:
a. Your National Insurance number
b. Your P45 form, which you receive from your employer upon leaving your job
c. Details about your final pay and deductions from your previous job
d. Information about any taxable benefits you may have received during the tax year
e. Your bank account details for the tax refund, if applicable
Access the HMRC P50 form online
The HMRC P50 form can be accessed and submitted online through the UK Government's official website. Visit www.gov.uk/government/publications/income-tax-claiming-tax-back-when-you-have-stopped-working-p50 to download the form.
Complete the form
Once you have downloaded the form, you'll need to fill in the necessary details. The form consists of several sections:
a. Personal information: Enter your name, address, date of birth, and National Insurance number.
b. Employment details: Provide information about your previous job, including your employer's name and address, your start and end dates, and your job title.
c. Tax information: Fill in details from your P45 form, such as your total pay, tax deducted, and taxable benefits.
d. Bank account details: If you're eligible for a tax refund, provide your bank account details, including the account number and sort code.
e. Declaration: Sign and date the form to confirm that the information provided is accurate.
Submit the form
Once you have completed the P50 form, you can submit it electronically. To do so, follow these steps:
a. Scan or take a clear photograph of the completed form and save it as a PDF or JPEG file.
b. Visit www.gov.uk/send-hmrc-attachment to access the HMRC's online submission portal.
c. Choose "Income Tax" as the tax type and select "P50" from the list of available forms.
d. Follow the on-screen instructions to upload your completed form and provide any additional information requested.
e. Click "Submit" to finalize your submission.
Await HMRC's response
After submitting your P50 form, HMRC will review your application and determine if you're eligible for a tax refund. The processing time can vary, but you can generally expect a response within 4-6 weeks. If your application is approved, your tax refund will be deposited directly into your bank account.
What Happens When I Submit My P50?
HMRC can take up to 14 days to process a claim. Once the claim is processed you'll either receive the payment in cash or bank transfer or HMRC will contact you to explain the reason why your claim was refused.
What Do I Do if I Can't Use a P50 Form for My Tax Rebate Claim?
There are many situations in which P50s are not the best method to get the tax deduction you are entitled to:
● You will require a different type of form which is known as P53, in the event that you received a modest lump sum pension.
● There are two options to choose from when you have an occupational retirement pension. You can either ask HMRC to claim your rebate from 5 April, or you can contact your pension provider to request the payment.
● Pensions Flexibility Payment comes with its own rules which are accessible on the HMRC's website.
● If you're planning to begin a new job within the next 4 weeks then the new employer will arrange your repayments via an arrangement called the pay system. It is only necessary to provide them with parts 2 and 3 of your P45 before you begin.
How Long Does HMRC P50 Form Take to Process?
The processing time for a P50 form submitted to HMRC in the UK can vary depending on several factors, including the time of year, the complexity of the claim, and the volume of claims being processed.
However, HMRC aims to process P50 claims within five weeks of receipt. If HMRC requires additional information to process your claim, it may take longer to receive your tax refund.
It's worth noting that if you submit your P50 claim online, you may receive your tax refund more quickly than if you submit it by post. Online submissions are typically processed faster because they are automatically entered into the HMRC system, while paper forms must be manually entered.
If you have not received your tax refund within the expected timeframe, you can contact HMRC to check the status of your claim.
If You Have Stopped Work and Flexibly Accessed Your Pension
If you have flexibly accessed your pension, you may be able to get a refund. Depending on your situation, you can use:
Form P50Z if you have emptied your pension pot.
Form P55, if you’ve taken only part of your pension pot and will not be taking regular payments or the pension body, is unable to make a tax refund.
Form P53 or P53Z to claim a tax refund on a small pension lump sum.
If You Are Making a Claim Because You Have Left the UK
If you’ve left the UK and you’re no longer working in the UK, to claim a refund you should use the form P85.
Being cut off from work is never pleasant, but it's an excellent opportunity to look into whether you are eligible for a tax refund for prior tax years. We at "Pro Tax Accountant" are ready to assess your tax situation and assist you in claiming back the amount you owe over the past four years.
Claiming back Income Tax when you've stopped working using the P50 form is a straightforward process. However, it's important to understand the eligibility criteria and the process involved. Whether you're applying online or by post, ensure you have all the necessary information and documents ready. If you're unsure about any part of the process, don't hesitate to seek professional help.