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State pensioners are being sent tax bills of up to £300 this winter by HMRC following new Winter Fuel Payment rules rolling out from October.

This year, Winter Fuel Payment rules have been changed following widespread outcry over the 2024 means testing which linked the benefits to Pension Credit, limiting eligibility to those earning roughly £11,300 or less.

This coming winter, the benefit is instead being sent to all state pensioners regardless of income, but it will be taken back from some state pensioners.

Those earning more than £35,000 will have to surrender the full payment, £200 for under-80s or £300 for over-80s, back to HMRC in tax.

If you are not eligible to keep the payment and you haven't contacted HMRC to opt out of the money, you will receive a letter informing you of a change of tax code to recover the money, unless you are registered for self-assessment.

A HMRC spokesperson told the BBC: "The vast majority of people who need to pay back a Winter Fuel Payment will do so automatically via their tax code.

"For those already registered for Self Assessment, it will be collected via their tax return.

"We've provided online guidance clearly explaining how recovery of payments works, and a calculator so people can see if they'll need to pay back the payment."

If your tax code is changed, you will then repay the money to HMRC via your earnings from April 2026, the next tax year.

Other groups who are not eligible to keep their Winter Fuel Payment, even if they earn under £35,000, include those living in a care home, and those in prison.

Though it is too late to opt out of a Winter Fuel Payment for this year, as the payments will begin in November, you can still call and opt out for future years, which will save you having to get your tax code changed to recover the money.

If your income then drops below the threshold in future (such as retiring) you can call up and opt back in, via the Winter Fuel Payment hotline on 0800 731 0160.