Tax scams to watch out for as financial year ends
When “Miss B” received a missed call from an un-recognised number, she did an internet search, and found it belonged to her local courthouse.
Later there was call from the same number. The caller claimed to be from the court, and said she needed to pay an £849 debt to HM Revenue and Customs (HMRC) – or risk arrest.
She paid and then received a WhatsApp message, asking her to send a copy of her passport and her driving licence to validate the payment.
When she was told to provide her bank details, she became suspicious and contacted her bank, Santander (santander.co. uk), who advised it was a scam.
Scams appear plausible, and phone numbers can be “spoofed” to look genuine. Tax scammers may be particularly likely to strike now, when people fill self-assessment returns, for the end of the tax year in April.
The self-assessment tax return deadline was January 31, but HMRC is waiving penalties for one month for late returns and payments. Anyone missing the usual deadline will not receive a late filing penalty if they file by February 28.
Chris Ainsley, head of fraud control at Santander UK, says: “By taking on the persona of the HMRC, criminals intimidate victims by impersonating an institution most of us trust.
“With the February extension to the self-assessment deadline approaching, we expect to see a significant increase in HMRC scams over the coming weeks. Don’t let criminals get away with it. Always check with HMRC directly before acting.”
Scams may come via email, text, phone or WhatsApp. Santander warns contact details, such as the caller ID, can be easily made to appear genuine.
Fraudsters may provide a link for people to complete their details and pay money “owed”. They may also use temptation rather than threats, claiming people are owed a “tax rebate” – and asking for personal details.
Once the customer has shared details or paid, the scam may end – but Santander warns sometimes people are contacted again, this time by someone pretending to be their bank’s fraud team, using the details previously shared.
They are told they have been scammed, and should move their money to a “safe” account – in reality belonging to the criminals. Many banks have introduced “confirmation of payee” when making payments online, so customers can check the name matches the account number.
If in any doubt about who you’re talking to, stop the conversation. If you’ve been scammed, tell your bank and the police. Suspect texts can be forwarded to HMRC on 60599, and emails to phishing@hmrc.gov.uk.
HMRC recently said there had been a sharp fall over the past year in reports of scams impersonating it, reflecting its work in tackling fraud.