HMRC urges people to check if they're owed £473 and says 'find out how'

HMRC is urging millions of taxpayers to check if they are owed a tax refund - with the average amount handed back being £473.

The most common reason why you may have been paid much tax, is if you've accidentally been placed on the wrong tax code - for example, if you recently changed job.

The most common code for the current tax year is 1257L for people who have one job or pension. This means you can earn £12,570 in one tax year before being taxed, as this is the current personal allowance.

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There are lots of other reasons why you may have paid too much tax, such as if you have a second job and your personal allowance hasn't been split correctly. You may have also paid too much tax on your pension income.

Have you managed to claim money back from overpaid tax? Let us know: mirror.money.saving@mirror.co.uk

HMRC previously revealed that it expected to send around four million P800 tax refund letters between June and August. HMRC has now published a new post on X, formerly Twitter, urging people to check if they're owed money.

HMRC said: “Received a letter saying you have a tax refund to claim? There could be an average of £473 waiting for you. Download the HMRC app to find out how you can claim it.”

You can find your tax code on your latest payslip, on your P45 if you have recently quit your job, or on GOV.UK if you have a Government Gateway ID. This is a 12-digit number that is free to sign up for, and it allows you to access UK government services online.

If you're due a refund, you can claim this online via GOV.UK by using the reference number on your P800 letter and your National Insurance number. If your tax code has been wrong for a while, you can claim back up to four additional years.

HMRC may pay back further than four tax years under certain circumstances - for example, if it was their fault that you overpaid tax.

MoneySavingExpert.com has previously warned people to be aware of scammers trying to impersonate HMRC. They advised that HMRC will always send a letter about any tax you're owed – it won't text, email or call you.