HMRC shuts down repayment agent
HMRC has previously announced an increase in protective measures for individuals dealing with so-called “repayment agents”. Now, one such agent has been ordered to cease trading. What’s the full story, and what do you need to do if you have a claim in progress?
Repayment agent ads have become a common sight in recent years, particularly on social media. You’ll recognise them by their style, usually along the lines of “Do you wear a uniform to work? You could be owed £1,000s from HMRC…” or similar. While many such agents are genuine, the industry has come in for criticism due to practices that are, at best, questionable, e.g. requiring refunds to be made directly to the agent’s account.
More seriously, HMRC is concerned that some of these “firms” are really just a front for money laundering. All tax agents (and other professionals, including accountants and solicitors) must comply with anti-money laundering regulations, including being registered with a supervisory authority. HMRC has found one agent, Tax Credits Limited, to have seriously breached these requirements and ordered the company to cease trading as a repayment agent. It's estimated that around 11,000 individuals had commenced refund claims via the company. HMRC will now write to these individuals to update them. The refunds will be automatically made by HMRC, so you don’t need to do anything if you are one of those affected.
Related Topics
-
Founders' relief: a closer look
The Budget's new Founders' Relief sounds remarkably generous, offering a 10% capital gains tax rate on up to £10 million of gains from selling shares from April 2027. However, a closer look at the proposed qualifying conditions suggests that relatively few business owners will benefit. Why might the relief be so difficult to claim?
-
MONTHLY FOCUS: 2026 BUDGET SPECIAL
Budget 2026 contains a mixture of tax rises, new reliefs and changes to the way businesses and individuals will be taxed from 2027 onwards. Savings and property income will face higher rates, the lifetime limit for Business Asset Disposal Relief will fall, a new founders' relief is planned and several allowances and business incentives are changing. Which measures matter most, and is there anything you should do before they take effect?
-
Autumn Budget 2026 – what are the key tax announcements?
The Chancellor delivered the Autumn Budget on 28 October, announcing a mixture of tax increases, new reliefs and changes to the way tax is administered. Although the headline rates of income tax, National Insurance (NI) and VAT remain unchanged, there are some significant changes affecting business owners, landlords and private individuals. What are the main announcements?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.