What is a Tax Rebate

What is a Tax Rebate? How to Claim it?

Do you know, one out of three people qualify to claim a tax rebate in the UK? It means that there are more chances that you are one of them. Every year a large sum of money goes unclaimed due to a lack of knowledge or time constraints to deal will the complex process. Getting knowledge of the tax rebates can pay back a great amount of money and help you to save more tax for the future. So, let’s see: What is a tax rebate? How to know if you due a tax rebate? And how to claim a tax rebate?

Read on to find out!


Worried about taxes? Want to get more refunds? Get in touch with our tax experts to optimise your taxes!


What is a Tax Rebate?

A tax rebate or refund is the due amount, which you can claim back when you paid tax over your usual tax payments in an accounting year. In such a situation, you are eligible to claim a tax rebate or refund from HMRC. Sometimes, you are automatically told by HMRC about your tax rebates, but in most cases, you need to apply for it yourself.

Self-employed people can also claim it via the Self-Assessment system. However, to claim it, you first need to know whether you have overpaid a tax or what amount you are entitled to claim.

Let’s dig deeper!


How to Know If you due a Tax Rebate?

If you are a taxpayer, you are eligible to claim a tax rebate and there are multiple tax refunds available for you. You qualify to claim a tax rebate if:



  • You’re paying tax for the last 4 years
  • You are employed under PAYE
  • You are a self-employed person under Construction Industry Scheme (CIS)

The time limit to claim a tax rebate is 4 years, otherwise, you might lose what you owe. And you can claim it for all four years. Although there are many circumstances, where you due a tax rebate, but typically these are the common cases on which you can claim a tax rebate:

  • You travel as part of your job
  • You wash and maintain your uniform
  • You pay for the tools and protective clothing for your job
  • You started a new business
  • You are leaving the UK
  • You are entitled to pension tax relief
  • You work from home

And the list goes on. There are many other circumstances where you can claim a tax rebate.


If you need help with claiming a tax refund, you can contact our qualified tax experts to get the most out of tax rebates without any hassle. Get in touch now!


How to Claim a Tax Rebate?

To claim a tax rebate, you first need to ensure that you actually have overpaid tax. You can overpay tax due to multiple reasons that include:

  • You got an incorrect PAYE code on which your employer deducted more tax on your wage
  • You paid employee expenses, but your employer didn’t reimburse them back
  • You haven’t claim allowances
  • You work for a small part of the year and only claimed some of your personal allowances
  • You paid into a private pension or made charitable payments under Gift aid (As a higher rate taxpayer)

No matter for what reason you have overpaid tax, if HMRC is not aware of your overpayments, you can’t get your rebate. Therefore, you need to make claim in the right way. After HMRC recalculates your income tax as per your new position, your account will be credited. That would be the right moment to apply for a tax rebate for any overpayment to be credited back.


Points to Consider

Here are some of the important points which you need to consider to claim your tax rebate:

  • To claim a tax rebate, you just need to pay the tax that you are entitled to. Your profession or job doesn’t affect your tax rebate
  • Reclaiming  a rebate is legitimate, it is not any tax avoidance, exploit, etc
  • If you’re eligible for the rebate, you can claim it but if you’re not, you don’t get back the money you’re entitled to.


Need Help!

We hope after reading this post, you have a better understanding of what is a tax rebate, how to know if you due a tax rebate and how can you claim a tax rebate. You are eligible to claim a tax rebate for four years. No matter what your employment status is you can claim the rebate. Claiming a tax rebate can be daunting if you are unaware of the processes. That’s why we recommend you get the help of a professional to get your refund.


Our refund specialists are experts in putting cash back into your pocket. Be it travel claim, work expenses, or any other expenses for which you want to claim a refund, get in touch with our professionals for help!


Have a Query? Contact us right now!


Disclaimer: This blog is just for your general information on tax rebates.


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