According to the Daily Telegraph, over 2 million foreigners are now working in the UK, which is a 75% increase in workers from abroad in the last six years. Our tax agent answers some of the most common questions on the subject. If you do not find an answer to your question, please send us an E-mail:
I am a foreign worker in the UK. Can I claim a tax refund?
If you are a foreigner working in the UK you will be able to make a claim for a tax refund. Everyone that is a resident and works in the UK has a tax free allowance (in the 2009/2010 tax year this was £6,475). Your tax free allowance is usually paid out proportionally throughout the year, so that you receive part of the allowance in each pay packet. If you enter or leave the UK part way through the year, you will not have received your entire tax free allowance and therefore you will be able to claim a tax refund.
Will I be able to claim all of the tax back that I paid?
This will depend on how much you have earned and how much you have paid in tax in the year. If you have earned less than your tax free allowance (£6475 in the 2009/2010 tax year), you can claim back any tax that was taken from your pay from HMRC. If you have earned more than your tax free allowance, you will still be able to make a claim but the amount you receive will depend upon your total income and the total already paid in tax.
How can I calculate my tax refund?
We have a tax refund calculator on our web site. You should be given a P45 or P60 from your employer. When you have this document, input the figures for tax and income into the calculator and press ‘calculate’. The calculator will then work out an estimate of your tax refund.
I was not given a P45/P60; can I still claim a tax refund?
Yes. All you need to do is write a letter to your employer’s payroll department asking for a ‘statement of earnings’. A statement of earnings is a sufficient replacement for a P45/P60 and can be used to claim a tax refund.
I was a foreign worker in the UK more then 2 years ago, is it still possible to claim?
Yes. If you worked in the UK anytime within the last 6 years, you are still eligible to make a claim. Try and find your P60/P45 and make a claim before it is too late.
How do I claim my tax refund?
There are two ways to claim your tax refund. You can make a claim yourself or you can use a tax refund agent to help you make a claim. If you are a foreigner making your tax refund claim yourself, you will need:
- Any P45/P60’s
- A P91 – Employment History form
- P85/P86 – Leaving/Entering the UK forms
- Covering Letter
You will need to find which tax office was dealing with your pay and tax and then send the above documents to them.
If you have any other questions, watch the short explainer video below or alternatively ask a question in the comments and we’ll personally answer it: