HM Revenue & Customs (HMRC) has started sending around 1.8 million Simple Assessment (PA302) letters for the 2025/26 tax year. The department is urging taxpayers not to ignore these notices. The letters are sent to people whose Income Tax cannot be collected through PAYE. They also apply to taxpayers who do not need to complete a Self-Assessment tax return.
If you receive one, it is important to review it carefully rather than assuming the calculation is correct. Check the figures carefully before making any payment.
HMRC Is Sending Letters in Phases
HMRC is issuing PA302 letters in stages throughout the year. You may receive your letter at a different time than someone else.
- 30 June 2026: Letters began going out to working-age taxpayers.
- 12 August 2026: HMRC starts mailing letters to pensioners.
- October – December 2026: Final letters go out using bank and building society interest data.
If your letter has not arrived yet, it may still be on the way.
What Is a Simple Assessment Letter?
A Simple Assessment is a tax calculation created by HMRC. They use it when they already have enough data to calculate your tax owed.
Instead of a full tax return, HMRC sends a PA302 letter. This letter shows how much tax you owe and how HMRC calculated it.
Who Receives a PA302 Letter?
HMRC sends Simple Assessment letters to:
- Pensioners with unpaid tax on their state or private pensions.
- People with high savings interest or dividend income.
- Individuals who earn money from multiple sources.
- Taxpayers whose unpaid tax cannot be collected through their tax code.
Why You Should Check the Calculation
HMRC gets data from employers, pension providers, the DWP, and banks. However, automated systems can still make mistakes.
Compare your PA302 letter against your personal records:
- Your P60 and P45 forms
- Pension statements
- Bank interest statements
- Dividend vouchers
Contact HMRC right away if the figures look wrong. Do not wait until the payment deadline to fix an error.
What Happens If You Ignore the Letter?
Ignoring an HMRC letter leads to extra costs and unnecessary stress. If you miss your payment deadline, HMRC charges interest on the unpaid tax. You may also face extra financial penalties. Checking your notice early gives you time to question wrong figures and arrange payments safely.
Simple Assessment Payment Deadlines
For most PA302 letters, you must pay your tax by 31 January 2027. If HMRC sends your letter later in the year, your deadline may change. Always check the exact date printed on your notice.
What if You Cannot Pay?
Contact HMRC immediately if you cannot afford the full payment. They can set up a manageable monthly payment plan called a Time to Pay arrangement.
How to Spot HMRC Scams
Scammers target taxpayers during major mailing campaigns. They use fake emails, texts, and letters to steal money and personal details.
Follow these steps to stay safe:
- Log into your official Personal Tax Account on GOV.UK to verify your tax bill.
- Never click links in unexpected text messages or emails.
- Remember that HMRC will never ask for bank details via text.
Why Acting Quickly Matters
HMRC now uses automated data gathering across multiple banks and employers. While this saves time, system errors do happen.
Promptly reviewing official letters prevents costly surprises later. This applies to pensioners, landlords, directors, and self-employed workers alike.
How Lanop Can Help
A Simple Assessment letter is not necessarily something you need to just pay without first having a look at it.
At Lanop Business and Tax Advisors, our chartered advisors spot calculation errors, verify income data, and resolve disputes directly with HMRC. We help individuals, property owners, and business directors review complex HMRC tax calculations.
Contact Lanop today to verify your tax calculation, meet deadlines, and avoid unnecessary tax payments.
