HM Revenue and Customs (HMRC) is warning all self-employed people to be ‘on their guard’ and not be tricked by fake emails or text messages from fraudsters after nearly 800,000 tax-related scams were reported in the last year. The department is currently contacting taxpayers to remind them there are only a few weeks to go until the Self-Assessment deadline on January 31 2022 and that fraudsters may use the remaining time and distraction of the festive season to try and steal money or personal information from unsuspecting individuals. In the last year alone, HMRC has received nearly 360,000 bogus tax rebate referrals. HMRC will be sending more than 4 million emails and text messages this week to Self-Assessment customers pointing them to guidance and support, prompting them to think about how they intend to pay their tax bill and to seek support if they are unable to pay in full by the January deadline. However, it is also warning customers not to be taken in by malicious emails, phone calls or texts, thinking that these are genuine HMRC communications referring to their Self-Assessment tax return. Criminals use emails, phone calls and text messages to try and dupe individuals into handing over money or personal or financial information, and often mimic UK Government messages to make them appear authentic. HMRC has a dedicated team working on cyber and phone crimes. They use innovative technologies to prevent misleading and malicious communications from ever reaching the customer. Since 2017 these technical controls have prevented 500 million emails from reaching HMRC’s customers. More recently, new controls have prevented 90% of the most convincing text messages from reaching the public and controls have been applied to prevent spoofing of most HMRC helpline numbers. HMRC is also reminding Self-Assessment customers to double-check websites and online forms before using them to complete their 2020/21 tax return. People can be taken in by misleading websites designed to make them pay for help in submitting tax returns or charging to connect them to HMRC phone lines. Customers who are in any doubt about whether a website is genuine should visit GOV.UK for more information about Self-Assessment and use the free signposted tax return forms.

Past performance is not a reliable guide to the future. The value of investments and the income from them can go down as well as up. The value of tax reliefs depend upon individual circumstances and tax rules may change. The FCA does not regulate tax advice. This newsletter is provided strictly for general consideration only and is based on our understanding of law and HM Revenue & Customs practice as of December 2021 and the contents of the Finance Bill. No action must be taken or refrained from based on its contents alone. Accordingly, no responsibility can be assumed for any loss occasioned in connection with the content hereof and any such action or inaction. Professional advice is necessary for every case.