HMRC made us wait a year for £150,000 tax rebate
HMRC has faced criticism for its slow processing of tax refunds, with some taxpayers waiting over a year for their money. While the agency imposes high penalties and interest on late payments, it offers minimal interest on delayed refunds. Recent cases highlight the financial strain on individuals due to HMRC's inefficiencies and errors.
- ▪A taxpayer waited a year for a £153,500 tax rebate after a handling error by HMRC.
- ▪Another individual faced a 13-month delay for a refund due to HMRC's mistake regarding national insurance contributions.
- ▪HMRC has acknowledged the need to improve response times and has hired additional staff to address delays.
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HMRC charges taxpayers 4% interest on late payments, plus as any fine – but pays only 1% on late refunds. Photograph: Ascannio/AlamyView image in fullscreenHMRC charges taxpayers 4% interest on late payments, plus as any fine – but pays only 1% on late refunds. Photograph: Ascannio/AlamyConsumer championsMoneyHMRC made us wait a year for £150,000 tax rebateThe tax office is quick to demand money owed and threatens fines, but is slow when giving refundsAnna TimsMon 25 May 2026 02.00 EDTSharePrefer the Guardian on GoogleWhen my mother died, there was a four-year delay in achieving probate owing to financial complexities.
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