Due a tax rebate? Keep an eye on your account

In a new initiative designed to reduce paper use and unnecessary confusion, HM Revenue & Customs (HMRC) has announced a significant change to the way that taxpayers are notified of a repayment.

From 8 April 2024, HMRC will no longer send out a letter notifying individuals or their agent that a repayment has been made for Corporation Tax or Income Tax Self-Assessment (ITSA).

Repayments will be made as normal and will be visible via HMRC online services for both agents and taxpayers – you don’t need to do anything extra to ensure repayments are made.

Explaining the reasoning behind the decision, HMRC said that confirmation letters often arrive after the repayment has been made, which causes confusion for taxpayers and an increase in enquiries from those seeking clarification.

What this mean for me?

For taxpayers, this means an increased focus on the use of your online account.

Make sure to familiarise yourself with HMRC’s online services and where the information regarding tax repayments will be displayed.

If you receive repayments and make submissions through an agent, ensure that your agent regularly reviews their account and keeps you informed on all communications regarding tax repayments.

Additionally, it is important to keep an eye out for letters concerning tax repayments moving forward, as these could be fraudulent.

HMRC and its taxpayers are frequent targets for scams and illicit activity involving letters received by post – particularly during periods of change such as this one, when a common letter from HMRC is taken out of circulation.

Aside from receiving a letter which is no longer being sent out by HMRC, you might also spot fraudulent mail from:

  • An incorrect department address
  • An invalid phone number or email address
  • Incorrect information about yourself

If you continue to receive repayment letters from HMRC and suspect that they are fraudulent, you should report it to that department.

It’s important to stay up to date on how HMRC will communicate with you to help you spot and report false letters and information.

For support with tax repayments and communicating with HMRC, contact our team and find out how we can help you.