Beware Repayment Agents

A recent report has found that the number of people who have complained to HMRC about companies claiming tax refunds on their behalf has more than tripled in the last two years, with many saying that this had happened without their knowledge or permission.

The complaints are around what are known as “deeds of assignment”. These are where a person signs over their right to the repayment to someone who is claiming on their behalf. This is common practice for accountants and tax agents as more often than not they are helping their clients to get tax back that the client wouldn’t otherwise manage to reclaim.

There are, though, plenty of unscrupulous companies out there looking to make fast buck by promising to reclaim tax for you and taking a cut for their fees when the money comes back. The report found that many of these companies were not repaying the tax at all and, more shockingly, were keeping the money having made claims without the taxpayer concerned even being aware of it!

Thompson Wright would like to make it clear that, whilst we do use deeds of assignment on occasion, we would never make a claim to repayment without discussing it with our client first and that the primary aim in every repayment claim is to get back for our clients money owed to them.

If you think you have fallen victim to a repayment company or that a claim has been made on your behalf without you authorising it, please don’t hesitate to let us know. We can take the matter up with HMRC and make sure that, wherever possible, you get back what is due to you.

Posted in Latest News.