Tax Credits Ltd Scam - Help Please

wary

My son received a P800 around 4 weeks ago saying that he is due a refund due to paying too much tax, and that they will send a cheque to TAX CREDITS for this amount within 14 days.

It sounded like a department within the HMRC who deal with tax credits.  However, it is actually a private company who act on your behalf and who have taken half of his refund.  There are a great many reviews here:

https://www.192.com/atoz/business/cf24-0wb-cf24/business-services/tax-credits-ltd/450e19bdf79443e394eebc17071d8a871cc32489/comp/

I believe that being a naïve youngster, he responded to something pushed through his letterbox about claiming a refund for working from home.  I’ve no idea what he signed but according to those reviews, it seems that he has given them power of attorney for his tax account and that all rebates are now issued to them.

They’ve taken half of his money so he has lost around £30, not disastrous and can be put down to experience.  But he needs to remove them from his tax affairs going forward.

The most recent review on 192 says “I unknowingly signed up to this. Now I can’t get out. No phone number no replies and, according to HMRC, I need their signature to remove them as acting on my behalf.”

Any suggestions for the best way to approach this, please?

Thanks

marcia_

 He doesn't need their signature to stop them acting on his behalf. He just needs to let HMRC know, might be a long wait in the phone 

wary

marcia_ said:

 He doesn't need their signature to stop them acting on his behalf. He just needs to let HMRC know, might be a long wait in the phone 

Thanks.  Hopefully you're correct as many are reporting that HMRC are not very amenable to this, highlighting that they've signed a legally binding contract.  

Which would be the best HMRC number to use for this kind of issue?

wary

It seems that he didn't actually sign anything but just completed an online form ... if that's relevant.  Nevertheless, such people are still being told by HMRC that they have received a signed deed of assignment.

Dazed_and_C0nfused

I think you getting mixed up with two different things.

1.  The company acting as your son's agent

2.  The deed of assignment

He can easily revoke 1 by contacting HMRC and this will mean they can no longer discuss your sons income tax affairs with this company or send them copies of tax codes, calculations etc.

But he can only cancel the deed with the companies agreement.  Without that HMRC are legally obliged to send any tax refund due for the tax year(s) covered by the deed to the company. 

wary

Dazed_and_C0nfused said:

I think you getting mixed up with two different things.

1.  The company acting as your son's agent

2.  The deed of assignment

He can easily revoke 1 by contacting HMRC and this will mean they can no longer discuss your sons income tax affairs with this company or send them copies of tax codes, calculations etc.

But he can only cancel the deed with the companies agreement.  Without that HMRC are legally obliged to send any tax refund due for the tax year(s) covered by the deed to the company. 

Thanks.  He said that he didn't sign anything, only that (as far as he was aware) he completed an online form for them to claim a WFH allowance on his behalf.  Presumably if he can convince HMRC that the deed of assignment was signed fraudulently, if indeed a signature is required for this, then they may be willing to revoke it.  It seems unlikely that the company will voluntarily agree to revoke it.

Any further suggestions would be appreciated - thanks.

sheramber

Look up reviews on trustpilot.

There is a suggestion there that worked for one person.

K_S

@wary

https://uk.trustpilot.com/review/taxcredits.org.uk

penners324

Report them to Action Fraud then advise HMRC that the deed of assignment is Fraudulent 

Brie

I would suspect that in signing up for something very specific he was also asked to tick the T&C box - and he did like we all do.  And without actually reading the T&Cs - like always happens with the rest of us too.  In the T&Cs there were likely things about "we can do whatever we want until the year dot" which they will try to use as their get out of jail card.  

Doesn't mean he should try, just that it may be difficult to stop.  Personally I would ring HMRC to advise them and follow it up with a letter addressed to both HMRC & the scamsters to say "i have severed all connection with this firm and they are no longer entitled to anything regarding my affairs due to their bad business tactics which amount to fraud."  Save copies of everything.

sheramber

Ask HMRC for a copy of the deed.

The normal process is that after you complete the online form they send out  form to be signed. Is your son sure he did not get one to sign.?