Approximately 1.8 million people across the UK will receive Simple Assessment letters from HM Revenue and Customs (HMRC) this summer, and Britons are being urged to take action if they get one.
The letters, formally designated PA302, outline precisely how much tax an individual owes on income that has not been collected through PAYE or Self Assessment.
Myrtle Lloyd, HMRC's chief customer officer, said: "If you receive a Simple Assessment letter and have tax to pay, please don't ignore it. It is quick and easy to pay any tax owed via the HMRC app."
She encouraged anyone needing additional support to search "Simple Assessment" on gov.uk.
These PA302 notices are sent annually to taxpayers whose liabilities cannot be collected automatically by HMRC. Common triggers include outstanding tax on savings interest or dividend payments, as well as untaxed income from a second job.
Tax due on pension earnings is another frequent reason for receiving the letter. Recipients may also find they have been given a higher tax-free allowance than they were actually entitled to.
In some cases, the amount owed is simply too large to be recovered through an adjustment to a person's tax code — typically where the sum exceeds £3,000.
Each letter specifies the exact liability and the reasoning behind it. Recipients must settle their bill by January 31, 2027, unless their letter states an alternative date.
Crucially, there is no requirement to file a tax return, the PA302 itself serves as the calculation. Payments can be spread across multiple instalments, provided everything is cleared before the deadline.
HMRC's free app offers what the authority describes as a quick and secure way to pay, though several other options are also available.
Those who prefer alternatives can settle online through gov.uk, make a direct bank transfer, or send a cheque.
A comprehensive list of all accepted payment methods is published on the Government's website.
Anyone unsure whether their letter is genuine can verify its authenticity by checking online, which provides guidance on confirming official HMRC communications.
The notices are delivered either by post or digitally within a recipient's Personal Tax Account.
HMRC has published detailed guidance on Simple Assessment on its website, including a dedicated resource tailored specifically for pensioners.
The tax authority's recently launched Tax Confident website additionally provides straightforward, accessible information designed to help individuals manage their tax affairs with greater assurance.
