HM Revenue and Customs (HMRC) is today warning customers not to share sensitive personal information online to avoid their identities being used to commit tax fraud.
HMRC is aware that criminals are attempting to obtain customers’ Government Gateway logins and other personal details, enabling them to register for Income Tax Self Assessment and submit bogus tax refund claims before pocketing the repayment.
Individuals, ranging from teenagers to pensioners, are being targeted on social media platforms by fraudsters seeking to ‘borrow’ their identities. In return, the individual is promised a cut of the tax refund ‘risk-free’.
Handing over sensitive personal information to criminals like this, even inadvertently, risks individuals involving themselves in tax fraud, and having to pay back the full value of the fraudulent claim.
Customers should therefore only deal with HMRC directly or through their tax advisor in relation to their Self Assessment tax refunds.
Simon Cubitt, Head of Cybercrime, HMRC said: “People need to think extremely carefully before they involve themselves in an arrangement like this, because if something looks too good to be true, then it almost certainly is.
“Those who get involved risk becoming the victim of blackmail, threats of violence and wider abuse of their personal information, as criminals seek to exploit them further.
“I urge anyone who may be aware of these dishonest attempts to recruit individuals into criminality, to report it us by searching ‘Report Fraud HMRC’ on GOV.UK and completing our online form.”
In addition to their Government Gateway credentials, customers may also be asked to provide details of their bank account, passport, driving licence, address, date of birth, and National Insurance number.
HMRC is working with other law enforcement agencies and social media companies to tackle criminality on online platforms.
Last month (10 February), HMRC made coordinated arrests of four individuals aged between 16 and 33 in Hertfordshire, Bristol, Derbyshire and Buckinghamshire as part of an investigation into suspected Self Assessment repayment fraud and money laundering offences. Investigations are ongoing.
HM Revenue and Customs (HMRC) has revealed that more than one million customers filed their late tax returns in February – taking advantage of the extra time to complete their Self Assessment without facing a penalty.
About 12.2 million customers were expected to file a return for the 2020/21 tax year and more than 11.3 million customers submitted theirs by 28 February.
The deadline for submitting tax returns was 31 January but, this year, HMRC gave customers an extra month to complete it. If customers filed their returns in February, they would avoid a late filing penalty.
HMRC has given customers until 1 April to pay their outstanding tax bill or set up a Time to Pay arrangement to avoid receiving a late payment penalty. Interest has been applied to all outstanding balances since 1 February.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “We understand some customers might be worrying about paying their Self Assessment bill this year, and we want to support them.
“To see if you’re eligible to set up a payment plan, go to GOV.UK and search ‘pay my Self Assessment’.”
Lucy Frazer, Financial Secretary to the Treasury, said: “Today’s stats show how vital the extra month was in supporting the cash flows of more than a million self-employed people and businesses across the UK, helping to ensure their survival as we recover from the pandemic.”
The existing Time to Pay service allows any individual or business who needs it the option to spread their tax payments over time. Self Assessment taxpayers with up to £30,000 of tax debt can do this online once they have filed their return.
If customers owe more than £30,000, or need longer to pay, they should call the Self Assessment Payment Helpline on 0300 200 3822.
Customers can now make Self Assessment payments quickly and securely through the HMRC app. Customers choosing to make secure Self Assessment payments through the HMRC app can either connect to their bank to make their payments or pay by Direct Debit, personal debit card or corporate/commercial credit/debit card.
HMRC urges everyone to be alert if they are contacted out of the blue by someone asking for money or personal information.
Customers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge. HMRC sees high numbers of fraudsters emailing, calling or texting people claiming to be from the department. If you’re in doubt, do not reply directly to anything suspicious, but contact HMRC straight away and search GOV.UK for ‘HMRC scams’.
The deadline for submitting tax returns was 31 January, but this year HMRC gave customers extra time to complete their 2020/21 tax return. They have until 28 February to file their return to avoid a late filing penalty.
About 12.2 million customers are expected to file a tax return for 2020/21 tax year and more than 10.2 million were received by 31 January.
About 1.5 Million customers have just one week left to complete their late tax return.
HMRC has given customers until 1 April to pay their outstanding tax bill or set up a time to pay arrangement to avoid receiving a late payment penalty. Interest has been applied to all outstanding balances since 1 February.
The existing Time to Pay service allows any individual or business who needs it, the option to spread their tax payments over time. Self Assessment taxpayers with up to £30,000 of tax debt can do this online once they have filed their return. Almost 100,000 customers have used this service since April last year, spreading the cost of their tax bill into manageable monthly instalments.
If customers owe more than £30,000, or need longer to pay, they should call the Self Assessment Payment Helpline on 0300 200 3822.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “There is one week left to complete your tax return if you haven’t done so already. And for anyone who is worried about paying their tax bill, there is support available – search ‘pay my Self Assessment’ on GOV.UK.”
From 22 February, customers will be able to make Self Assessment payments quickly and securely through the HMRC app. Customers choosing to make secure Self Assessment payments through the HMRC app can either connect to their bank to make their payments or pay by Direct Debit, personal debit card or corporate/commercial credit/debit card.
other COVID-19 grants and support payments such as self-isolation payments, local authority grants and those for the Eat Out to Help Out scheme
The £500 one-off payment for working households receiving tax credits should not be reported in Self Assessment.
It is important that customers check and make any changes to their tax return to make sure any SEISS or other COVID-19 support payments have been reported correctly in their Self Assessment.
HMRC urges everyone to be alert if they are contacted out of the blue by someone asking for money or personal information.
Customers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge.
HMRC sees high numbers of fraudsters emailing, calling or texting people claiming to be from the department.
If you’re in doubt, do not to reply directly to anything suspicious, but contact HMRC straight away and search GOV.UK for ‘HMRC scams’.
Almost 100,000 Self Assessment customers across the UK have used online payment plans to spread the cost of their tax bill into manageable monthly instalments since April 2021, HM Revenue and Customs (HMRC) has revealed.
Once a customer has filed their 2020/21 Self Assessment tax return, they can set up a Time to Pay arrangement for up to 12 months on debts up to £30,000, that they’re unable to pay in full. This can be done online at GOV.UK without speaking to HMRC.
Since April 2021, Self Assessment customers have used the online Time to Pay service to pay more than £310 million worth of tax in instalments. If a customer owes more than £30,000, or needs longer to pay, they should contact HMRC to discuss payment options.
The deadline for filing tax returns, paying any tax owed or setting up a payment plan was 31 January but, this year, HMRC has given customers extra time to meet their obligations without facing penalties.
This means:
· anyone who did not file their return by the 31 January deadline will not receive a late filing penalty if they file by 28 February
· anyone who did not pay their tax liabilities by the 31 January deadline will not receive a late payment penalty if they pay their tax in full, or set up a time to pay arrangement, by 1 April
From 1 February, all outstanding amounts were subject to interest.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “We understand some customers might be worrying about paying their Self Assessment bill this year, and we want to support them.
“To see if you’re eligible to set up a payment plan, go to GOV.UK and search ‘pay my Self Assessment’.”
other COVID-19 grants and support payments such as self-isolation payments, local authority grants and those for the Eat Out to Help Out scheme
The £500 one-off payment for working households receiving tax credits should not be reported in Self Assessment.
It is important that customers check and make any changes to their tax return to make sure any SEISS or other COVID-19 support payments have been reported correctly in their Self Assessment.
HMRC urges everyone to be alert if they are contacted out of the blue by someone asking for money or personal information. Customers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge.
HMRC sees high numbers of fraudsters emailing, calling or texting people claiming to be from the department.
If you’re in doubt, do not to reply directly to anything suspicious, but contact HMRC straight away and search GOV.UK for ‘HMRC scams’.
More than 10.2 million customers filed their 2020 to 2021 tax returns by the 31 January 2022 deadline, HM Revenue and Customs (HMRC) has revealed.
More than 630,000 customers filed on deadline day and the peak hour for filing was 16:00 to 16:59 when 52,475 completed their Self Assessment. There were 20,947 customers who completed their tax return between 23:00 and 23:59.
More than 12.2 million customers were expected to file a Self Assessment tax return this year. The remaining 2.3 million customers expected to file by 31 January now have until 28 February 2022 to submit their late 2020 to 2021 tax return and avoid a late filing penalty.
For any Self Assessment customer who is yet to pay their tax bill or set up a payment plan, interest will be applied to outstanding balances from 1 February. Customers have until 1 April to pay their tax in full, or set up a time to pay arrangement, to avoid a late payment penalty.
Those who are not yet able to file their tax return should pay an estimated amount as soon as possible, which will minimise any interest. Self-employed people can use the calculator on GOV.UK to help estimate their tax bill.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “I’d like to thank the millions of customers and agents who sent us their tax return and paid in time for this week’s deadline.
“We’re waiving penalties this year, to give those who missed the deadline an extra month. And customers can set up a monthly payment plan online if they’re worried about paying their tax bill. Search ‘Self Assessment’ on GOV.UK to find out more.”
The existing Time to Pay service allows customers, who are unable to pay their bill in full, to spread their tax payments into manageable monthly instalments. Self Assessment customers with up to £30,000 of tax debt can do this online once they have filed their return.
If customers owe more than £30,000, or need longer to pay, they should call the Self Assessment Payment Helpline on 0300 200 3822.
other COVID-19 grants and support payments such as self-isolation payments, local authority grants and those for the Eat Out to Help Out scheme
The £500 one-off payment for working households receiving tax credits should not be reported in Self Assessment.
It is important that customers check and make any changes to their tax return to make sure any SEISS or other COVID-19 support payments have been reported correctly in their Self Assessment.
HMRC urges everyone to be alert if they are contacted out of the blue by someone asking for money or personal information. Taxpayers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge.
HMRC sees high numbers of fraudsters emailing, calling or texting people claiming to be from the department.
If in doubt, HMRC advises not to reply directly to anything suspicious, but to contact them straight away and to search GOV.UK for ‘HMRC scams’.
Thousands of working families in Scotland could be missing out on an opportunity to get up to £2,000 a year to help with the cost of childcare, HM Revenue and Customs (HMRC) is reminding parents ahead of the February mid-term break.
Tax-Free Childcare – the 20% childcare top-up – provides eligible working families with up to £500 every three months (or £1,000 if their child is disabled) towards the cost of holiday clubs, before and after-school clubs, childminders and nurseries, and other accredited childcare schemes.
More than 18,500 working families used Tax-Free Childcare across Scotland in September 2021, receiving a share of £35 million in UK Government top-up payments towards their childcare costs – an increase of about 90,000 families compared to September 2020.
Tax-Free Childcare is available for children aged up to 11, or 17 if the child has a disability. For every £8 deposited into an account, families will receive an additional £2 in government top-up.
This scheme is one of many ways the UK Government is supporting households to raise their incomes and keep more of what they earn.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “The 20% government top-up offers working families help to pay for childcare, whether it’s nursery bills, after school clubs or holiday clubs.
“Search ‘Tax-Free Childcare’ on GOV.UK to find out more.”
Helen Whately, Exchequer Secretary to the Treasury said: “Whether it’s for holiday clubs, breakfast clubs, or childminders and nurseries, Tax-Free Childcare is a great offer that gives working parents a helping hand with their childcare costs.
“This UK Government is committed to supporting working families which is why it’s fantastic that thousands more are saving money through the Tax-Free Childcare scheme. I urge as many parents as possible to take advantage of this support.”
By depositing money into their accounts, families can benefit from the 20% top-up and use the money to pay for childcare costs when they need it. Accounts can be opened at any time of the year and can be used straight away.
For example, if parents and carers have school-aged children and use holiday clubs during school holidays, they could deposit money into their accounts throughout the year. This means they could spread the cost of childcare while also benefitting from the 20% government top-up.
Tax-Free Childcare is also available for pre-school aged children attending nurseries, childminders, or other childcare providers. Families with younger children will often have higher childcare costs than families with older children, so the tax-free savings can really make a difference.
Four million customers are yet to submit their completed Self Assessment tax return and pay any tax owed ahead of the deadline on 31 January, HM Revenue and Customs (HMRC) has warned.
More than 12.2 million customers are expected to complete a tax return for the 2020/21 tax year.
HMRC is urging the millions of customers still to file their tax return, pay any outstanding liabilities or set up a payment plan, to do so ahead of the deadline as interest will be applied to all outstanding balances from 1 February.
However, earlier this month, HMRC announced they would waive penalties for one month for late filing of tax returns and late payments. The changes mean:
· anyone who cannot file their return by the 31 January deadline will not receive a late filing penalty if they file by 28 February
· anyone who cannot pay their tax liabilities by the 31 January deadline will not receive a late payment penalty if they pay their tax in full, or set up a time to pay arrangement, by 1 April
Myrtle Lloyd, HMRC’s Director General for Customer Services, said:“We know some customers may struggle to meet the Self Assessment deadline on 31 January which is why we have waived penalties for one month, giving them extra time to meet their obligations.
“And if anyone is worried about paying their tax bill, they can set up a monthly payment plan online – search ‘pay my Self Assessment’ on GOV.UK.”
HMRC is offering support to customers completing their tax return. Anyone who is yet to file their return can book a place to access live webinars, running throughout January on GOV.UK.
There are no changes to HMRC’s Self Assessment helpline opening times. The telephony service will not open on Saturday 29 or Sunday 30 January and will operate as normal until 6pm on Monday 31 January.
The existing Time to Pay service allows any individual or business who needs it the option to spread their tax payments over time. Self Assessment taxpayers with up to £30,000 of tax debt can do this online once they have filed their return.
If customers owe more than £30,000, or need longer to pay, they should call the Self Assessment Payment Helpline on 0300 200 3822.
other COVID-19 grants and support payments such as self-isolation payments, local authority grants and those for the Eat Out to Help Out scheme
The £500 one-off payment for working households receiving tax credits should not be reported in Self Assessment.
It is important that customers check and make any changes to their tax return to make sure any SEISS or other COVID-19 support payments have been reported correctly in their Self Assessment.
HMRC urges everyone to be alert if they are contacted out of the blue by someone asking for money or personal information.
Taxpayers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge.
HMRC sees high numbers of fraudsters emailing, calling or texting people claiming to be from the department.
If in doubt, HMRC advises not to reply directly to anything suspicious, but to contact them straight away and to search GOV.UK for ‘HMRC scams’.
Reports of scam HMRC phone calls have fallen by 97% over the last 12 months, latest HM Revenue and Customs (HMRC) figures show, which display a downward trend in reports overall throughout the past year.
Reports of scammers impersonating HMRC in phone calls peaked at 79,477 in March 2021 and fell to just 2,491 in December 2021.
The fall in scam call reports to HMRC has also been seen elsewhere with an 92% drop in phishing email reports and a 97% drop in scam text reports over the last year.
These significant results are testament to some of the work of teams across HMRC in tackling these attempts to defraud people, including dedicated customer protection teams and helplines, tools to refer scams, and use of innovative technologies. It also signals that the public is more aware of cyber criminals and the methods they use to trick people, in part thanks to HMRC’s awareness raising efforts, meaning fewer members of the public have been the subject of scammers and attempts to steal their money.
All of HMRC’s work to protect the public and make people aware of scams and the advice available on GOV.UK, has helped move HMRC from third most phished brand globally to outside the top 100.
Mike Fell, HMRC’s Head of Cyber Security Operations, said:“We work incredibly hard to protect the public from these criminals who ruin lives by stealing from people. It’s great news that fewer people are receiving and reporting these attempted frauds, but it is still important they continue to report suspicious contact to us. We will continue to do everything we can to protect the public from these cynical attempts to impersonate HMRC to steal from people.
“Our advice is – never let yourself be rushed. If someone contacts you saying they are from HMRC, wanting you to urgently transfer money or give personal information, be on your guard. HMRC will never ring up threatening arrest, only criminals do that. Contacts like these should set alarm bells ringing, so take your time and check HMRC scams advice on GOV.UK.”
Some HMRC-themed scams originate abroad. HMRC works closely with national and international law enforcement agencies to combat scams, including collaboration with India as a key international partner in tackling the organised crime groups that run these scams.
Work by the Indian authorities last year resulted in multiple arrests and the closure of criminal call centre operations. In June 2021, 51 people were arrested at two call centres in Delhi, India, that were dedicated to facilitating HMRC scams.
HMRC has a dedicated Customer Protection team working on cyber and phone crime around the clock, closing down scams and sharing intelligence with law enforcement agencies. HMRC also deploys innovative technologies to prevent misleading and malicious communications that impersonate its genuine e-mail channels, from ever reaching the public. Since 2017 these technical controls have allowed HMRC to prevent 500 million bogus emails reaching customers.
More recently, new controls have prevented 90% of the most convincing text messages from reaching the public and joint working with industry partners has prevented the spoofing of most of HMRC’s helpline numbers.
In the last year, HMRC has responded to 670,793 referrals of suspicious contact from the public, with 283,157 of these cases offering bogus tax rebates. Others threaten arrest for tax evasion or offer fake financial support.
As part of HMRC’s action to combat voice scams, the department has set up a direct referral route on GOV.UK where people can report HMRC-related telephone phishing.
HMRC also works with the telecoms industry to remove phone numbers being used to commit HMRC-related phone scams. In December 2021, four phone numbers being used to commit HMRC-related phone scams were removed, which is likely to have prevented hundreds of scam calls being made.
HMRC uses a range of modern methods when communicating with its customers. Criminals will often then try to duplicate those methods to take advantage of people. HMRC is doing everything it can to stay one step ahead of the criminals to keep its customers and their information safe.
HM Revenue and Customs (HMRC) is waiving late filing and late payment penalties for Self Assessment taxpayers for one month – giving them extra time, if they need it, to complete their 2020/21 tax return and pay any tax due.
HMRC is encouraging taxpayers to file and pay on time if they can, as the department reveals that, of the 12.2 million taxpayers who need to submit their tax return by 31 January 2022, almost 6.5 million have already done so.
HMRC recognises the pressure faced this year by Self Assessment taxpayers and their agents. COVID-19 is affecting the capacity of some agents and taxpayers to meet their obligations in time for the 31 January deadline. The penalty waivers give taxpayers who need it more time to complete and file their return online and pay the tax due without worrying about receiving a penalty.
The deadline to file and pay remains 31 January 2022. The penalty waivers will mean that:
· anyone who cannot file their return by the 31 January deadline will not receive a late filing penalty if they file online by 28 February, and
· anyone who cannot pay their Self Assessment tax by the 31 January deadline will not receive a late payment penalty if they pay their tax in full, or set up a Time to Pay arrangement, by 1 April.
Interest will be payable from 1 February, as usual, so it is still better to pay on time if possible.
Angela MacDonald, HMRC’s Deputy Chief Executive and Second Permanent Secretary, said: “We know the pressures individuals and businesses are again facing this year, due to the impacts of COVID-19.
“Our decision to waive penalties for one month for Self Assessment taxpayers will give them extra time to meet their obligations without worrying about receiving a penalty.”
Lucy Frazer, Financial Secretary to the Treasury, said: “We recognise that Omicron is putting people under pressure, so we are giving millions of people more breathing space to manage their tax affairs.
“Waiving late filing and payment penalties will help ease financial burdens and protect livelihoods as we navigate the months ahead.”
The existing Time to Pay service allows any individual or business who needs it the option to spread their tax payments over time. Self Assessment taxpayers with up to £30,000 of tax debt can do this online once they have filed their return.
Other COVID-19 grants and support payments such as self-isolation payments, local authority grants and those for the Eat Out to Help Out scheme
The £500 one-off payment for working households receiving tax credits should not be reported in Self Assessment.
HMRC urges everyone to be alert if they are contacted out of the blue by someone asking for money or personal information.
Taxpayers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge. HMRC sees high numbers of fraudsters emailing, calling or texting people claiming to be from the department.
If in doubt, HMRC advises not to reply directly to anything suspicious, but to contact them straight away and to search GOV.UK for ‘HMRC scams’.
FIS has been proactively pursuing the suspected proceeds of crime using enforcement powers, both criminal and civil, to disrupt the movement of cash and assets. Since 2016, more than 1,200 seizures of cash and assets have been made while on operational duty, including gold bars worth £750,000 from a passenger at Manchester Airport and £48,000 found in a freezer drawer, hidden among chicken nuggets at a house in Blackpool.
Simon York, Director, Fraud Investigation Service, HMRC, said: “To reach this £1 billion milestone in five years speaks volumes to the dedication, hard work and skill of FIS to recover the proceeds of crime from those who try to cheat the system.
“Whether it’s cash seizures, confiscation orders or account freezing orders, recovering these assets stops criminals bankrolling their lavish lifestyles and funding further crimes that harm our communities, such as drugs, guns and human trafficking. Crucially, this money goes back into the public purse, helping fund our vital services such as schools and hospitals.
“HMRC deploys cutting-edge technology to investigate unexplained wealth and uncover hidden assets. Last year alone, we recouped more than £218 million from proceeds of crime.
“We are committed to recovering criminal assets and today the message is clear – crime doesn’t pay.”
Some of the bigger and varied seizures and confiscations include:
· £750,000 of gold bars seized from a lunchbox at Manchester Airport, which were auctioned off with proceeds going back into the public purse.
· More than £840,000 in cash was seized at a residential garage in Sydenham, south-east London, after FIS helped dismantle a gang responsible for a £9.5 million tobacco fraud.
· A convicted fraudster was ordered to hand over poker winnings twice in 2018 and 2019 totalling £99,030 to satisfy an outstanding confiscation order.
The formation of FIS in 2016 brought together HMRC’s criminal and civil investigators – a world-first for tax enforcement. This partnership allows HMRC’s investigators to unlock the most complex financial crimes.
Criminal cash is seized by HMRC officers under the Proceeds of Crime Act 2002 (POCA). If the courts are satisfied the cash is from a crime, or was going to be used in a crime, they can order a forfeiture. In uncontested cases, HMRC can administratively order forfeiture of the cash.
HMRC also obtains Account Freezing Orders to freeze balances in bank accounts where it is suspected they contain criminal money. A financial investigator uses a range of tools at their disposal to investigate the cash or account and any criminality. This may involve interviewing the suspect, obtaining production orders on identified bank accounts and assessing whether the cash was seized alongside illegal items such as non-duty paid alcohol or tobacco. Uncontested cases can be administratively dealt with by HMRC, while others would be determined in a court.
Confiscation Orders can be imposed on tax fraudsters after conviction. Investigators will assess the criminal benefit from their crimes and evaluate any assets they hold. If the assets held by the convicted criminal at the time of the order are less than the benefit derived from the fraud, then any future assets can be confiscated up to the value of the benefit of the fraud.
The courts make the final decision on a Confiscation Order. Failure to pay leads to default sentences and many more months or years in jail and they will still owe the money when released. The recovered money is returned to the public purse.
The Contractual Disclosure Facility (CDF) is another tool for FIS to deal with serious fraud cases. The CDF allows tax evaders to admit their fraud and agree to pay the tax in full, along with interest and penalties due.
However, if FIS discover that individuals have not made a full and frank disclosure via the CDF, they can and do criminally investigate and prosecute.
