Pensioners begin receiving Simple Assessment letters

Pensioners began receiving Simple Assessment letters from 12 August 2026, HM Revenue and Customs said. The letters cover the 2025 to 2026 tax year and are sent to people who owe tax on income that has not been collected through Pay As You Earn or Self Assessment¹.

HMRC said it will issue around 1.8 million Simple Assessment letters in total. Working-age customers began receiving letters from 30 June 2026, and a second tranche will be sent between October and December 2026 relating to Bank and Building Society Interest data¹.

The letters, known officially as PA302, set out how much tax is owed and why. HMRC said they are generated automatically when it receives data from employers, the Department for Work and Pensions and financial institutions confirming that tax is due, and that this is a routine annual process¹. They arrive by post or appear in a customer's Personal Tax Account online¹.

HMRC listed the circumstances in which a Simple Assessment letter may be sent¹:

Myrtle Lloyd, HMRC's Chief Customer Officer, said:

HMRC said people should check the figures in their letter against their own records and pay any tax owed by 31 January 2027, unless a different date is shown. Payments can be made in full or in instalments before the deadline and do not require a tax return. Payment methods listed are the HMRC app, online via GOV.UK, bank transfer or cheque¹.

Why it matters for households

The letters affect people whose tax on savings interest, dividends, a second income or pension income has not been collected through PAYE or Self Assessment, and who therefore owe tax that HMRC cannot collect through a tax code¹. Pensioners are the group now starting to receive them, from 12 August 2026¹.

The amount owed is stated in the letter, and the payment deadline is 31 January 2027 unless the letter shows a different date¹. Because the tax has not been coded out, it is not being taken from wages or a pension in the normal way, so the bill is payable separately. HMRC said payments can be split into instalments before the deadline, and that paying does not require a tax return¹.

HMRC also said the letters are official and that customers can check whether a letter from HMRC is genuine on GOV.UK¹. Our guide to Simple Assessment explains how HMRC works out a bill, and the tax hub covers the wider system.

What happens next

A second tranche of letters will be sent between October and December 2026, relating to Bank and Building Society Interest data¹. The payment deadline for the letters is 31 January 2027 unless a different date is shown¹.