How to Get Your Tax Refund Early
Tax season can be a bit stressful, but getting a tax refund can make it better. If you've paid too much in taxes from your job or pension and the tax year is over, you might wonder if you can get your refund early. Well, in some cases, you can speed up the process and get your money back sooner. In this article, we'll explain how you can do that.
How to Get Your Tax Refund Early
The deadline for filing your taxes in the UK is January 31st every year for the previous tax year. But if you want your refund quickly, here's what you need to do:
1. File Online with HMRC
One of the quickest ways to get your refund early is by filing your taxes online through HMRC (Her Majesty's Revenue and Customs). You'll need to create an online HMRC account if you haven't already. This account helps you file your taxes and manage them easily.
2. File Early
You can file your tax return for the previous tax year after the start of the current tax year. For example, if the tax year ends on April 5th, you can file your return anytime after April 6th. The sooner you file, the sooner you'll get your refund.
3. Gather Your Info
When you file for an early tax refund, make sure you have all the necessary information ready. This includes your Unique Taxpayer Reference (UTR) and user ID, which you'll get when you register for an online HMRC account. Be ready to provide accurate financial details for your tax return.
4. Fast Processing
Usually, HMRC takes 8 to 12 weeks to process and send refunds. But if you choose direct deposit, you might get your refund as quickly as eight days after filing online. On average, nine out of ten people who use direct deposit get their refunds within 21 days.
5. Stay Informed
To know the status of your tax refund, you can check the GOV.UK website or call HMRC at 0300 200 3300. This way, you can track your refund's progress and make sure it's coming.
Why File Early?
Filing for an early tax refund has some advantages:
1. Avoid Last-Minute Stress
As the January 31st deadline gets closer, HMRC's phone lines get busier. By filing early, you can avoid the last-minute rush and get help from HMRC more easily if you need it.
2. Plan Your Finances
Filing early helps you know exactly how much you owe in taxes, so you can plan your budget for the year. If you can't pay your tax bill all at once, filing early gives you more time to figure out payment options.
3. Less Stress
Filing early gives you peace of mind, knowing your tax return is done, and your refund is on the way. You won't have to worry about rushing to file at the last minute.
4. Quick Refund
Filing early means you might get your tax refund sooner. You can use the money for your needs or save it up faster.
5. Easy Online Services
With online services, you can do your tax-related tasks quickly and easily without dealing with paper forms or long phone wait times.
What If You Haven't Received Your Tax Refund?
Sometimes, tax refunds take longer to arrive, even if you filed online with your bank account information. This delay can happen because HMRC checks bank accounts and tax information. If this happens to you, here's what you can do:
| Step | Instructions |
|---|---|
| 1. | Log in to your online account on GOV.UK. |
| 2. | Go to the "Self Assessment Overview" page from "Your tax account." |
| 3. | Choose "Request a repayment" on the left menu. |
| 4. | Follow the on-screen instructions to ask for your refund. |
Alternatively, you can contact HMRC in writing or by phone to check on your refund's status.
In conclusion, while the usual tax filing deadline is January 31st, filing for an early tax refund can be a smart move. It can give you peace of mind, help with financial planning, and let you get your refund faster. Just remember that refund times can vary, so filing early is a good idea if you want your money quickly.
Return to Homepage for more content.