My client overpaid PAYE for the 2010 tax year and are still having difficulty getting it repaid. HMRC agree that the P35 shows that the year is overpaid but say that they will not repay unless the client can explain exactly how the overpayment came about. Very convenient that they don't take the same approach when there is an underpayment! My client has no idea how it happened - probably a figure already in the adding machine or something similar when they were adding up the amounts due and they have said so but HMRC are not convinced. Another client is having similar problems even though he has explained the reason for his overpayment. In this case it was a new partnership which came to me just before the end of the tax year and I discovered that they had been applying PAYE to the partner drawings.The P35 was submitted without the partners so there was an overpayment. HMRC are saying that they need to look at the accounts before considering a repayment (now submitted) and want more detail about how the overpayment arose. I can't see what else there is to say. Both cases seem simple to me - they paid more than was due and the difference should be repaid. I have considered suggesting a deduction from the current year etc with a letter to expalin but haven't,fearing it may complicate matters and lead to penalties on the current year. For the partnership it would be several years to recover and they will need the money to pay the SA tax due in January anyway. Any suggestions please?