PPI tax refund
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Did you make a PPI claim? If you did, there's a good chance you are entitled to a refund on the claims tax. Fill out our form to find out if you can claim back hundreds of pounds. It's no win no fee!
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PPI Tax Refund
Have you made a PPI Claim?
Make your no win no fee claim today.
What are PPI Tax refunds?
If you made a successful Payment Protection Insurance (PPI) claim, then you may not be aware that your total claim would have been made up of not only a refund of your PPI premiums, but also interest on those premiums. The interest recognises that you were deprived of the money you would have had if you hadn't paid your PPI premiums in the first place. In effect, it counts as savings interest that you might have otherwise earned.
That interest is usually set at 8% and is known as Statutory Interest.
Before your final PPI claim was paid, your PPI provider would have looked at the interest portion of your refund and taxed it for you regardless of whether or not you should have paid tax on it. Your final PPI refund would have been your PPI premiums plus the interest (after they had deducted tax from the interest).
The interest received on your PPI claim was treated as savings income, that's why it would have been taxed. Basic rate tax would then have been deducted at source on the interest part of your PPI refund before it was paid to you. The tax would have then been passed to HMRC on your behalf.
The problem, though, is that many people were not liable to pay the tax on the interest. You wouldn't have paid tax on your PPI refund if:
- The year you received the refund, your total taxable income for the year was within your tax-free personal allowance.
- The total interest you received on your savings during the year of your refund was below the Personal Savings Allowance (£1,000 for basic rate tax payers and £500 for higher rate tax payers).
If any of these applied to you, then it is likely you have paid tax when you should not have done so. You can claim this tax back from HMRC.
How do I apply for a PPI Tax Refund?
All you have to do is complete our application form and one of our team will contact you to complete your application. It’s as easy as that.
You can make a claim for any PPI refunds received after 5 April 2018. You cannot go any further back unfortunately.
Frequently asked questions
Is HMRC really refunding PPI tax?
How do I find out if I am eligible?
Is the interest I receive compounded?
What is a Personal Allowance?
What is the Personal Savings Allowance?
Can I reclaim tax on PPI refunds before the 6th of April 2018?
How much will I get back?
Can I claim a PPI Tax Refund if I am self-employed?
How long does a PPI tax claim take?
Who Can Claim a PPI Tax Refund?