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HMRC warning as making one simple work claim could leave you owing thousands

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Accidentally making a false claim related to your work expenses could land you in hot water, potentially owing thousands of pounds to HM Revenue and Customs (HMRC).

The government body is on a mission to raise awareness among workers about fraudulent agencies promising hefty refunds from HMRC for a commission. However, HMRC warns that individuals should first verify their eligibility for such claims to avoid the risk of making an invalid and costly claim.

This initiative is part of HMRC's ongoing 'Don't Get Caught Out' campaign, aimed at preventing workers from falling into tax-related pitfalls. The campaign illustrates this with the example of a hypothetical worker named Mike, whose story mirrors real-life incidents.

Mike used the services of a refund company that falsely guaranteed him a £4,000 reimbursement for work expenses. After deducting a £1,600 fee, Mike was left with the remaining amount, only to be later contacted by HMRC.

They informed him that his claims were invalid, leaving Mike obligated to repay the entire £4,000 along with additional interest. Thankfully, there's a relatively straightforward way to steer clear of such predicaments....

Who's eligible for a tax refund claim?

Determining your eligibility for a tax refund is free and relatively swift, something you should always undertake even if you opt to use an agent or a tax refund company. You may also be required to furnish HMRC with proof of your eligibility to lodge the claim, such as receipts for expenses, so ensure you have these at hand before submitting a claim.

A rapid check can be performed via . This check enables you to verify if you're eligible for a tax refund for a multitude of reasons, including:.

  • nterest from savings or payment protection insurance (PPI)
  • a redundancy payment
  • pay from a job
  • a pension
  • a Self Assessment tax return
  • income from a life or pension annuity
  • UK income if you live abroad
  • foreign income
  • job expenses such as working from home, fuel, work clothing or tools
  • UK income earned before leaving the UK

If you suspect you've lodged an ineligible tax refund, you should get in touch with HMRC promptly as they can provide additional assistance to customers who require it. More information on what claims can be made can be found on the Don't Get Caught Out campaign website

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