HMRC alert: Pensioners warned over tax return error that could leave 1.7 million overcharged
The tax authority admitted a calculation mistake involving state pension income on self-assessment forms
www.gbnews.comHMRC has acknowledged a mathematical error in the pension tax system, affecting approximately 1.7 million state pension recipients. The problem is attributed to the self-assessment system incorrectly pre-filling state pension income at the new rate for 52 weeks, instead of the correct one week at the old rate and 51 weeks at the new rate. As a result, HMRC is reviewing potential reimbursements and advising affected pensioners to verify their state pension amounts and PAYE coding notices for any necessary back-tax adjustments.