Press release
Rebate reprobates: Tax refund companies claiming up to half of customers’ money, Which? finds
5 min read
Jenny Ross, Which? Money Editor, said: "Our research shows that huge numbers of people are coming into contact with firms seeking to entice them into handing over potentially hundreds of pounds of their tax rebate in unnecessary and hard to justify fees. "For most people with a rebate to claim, HMRC is the best port of call. Go to its website directly to ensure you aren't left footing any unnecessary bills."
ENDS
Notes to editors Which? surveyed 4,000 adults in the UK between 29th October and 2nd November 2021. Fieldwork was carried out online by Opinium and data has been weighted to be representative of the UK population (aged 18+).
Right of replies
Tax Credits Ltd said: 'We spend a significant amount on marketing and providing access to this potential tax relief. In many cases it's our advertising, not HMRC's, that makes a person aware of it. We then present the claimant with a simple mechanism to access the potential overpayment of tax. Our remuneration is contingent on a repayment being secured, and the amount we retain is reflective of this."
Rebate Gateway said: "While we are unable to agree with any of the points raised, we do endeavour to ensure our clients, and any prospective clients of Rebate Gateway, are fully aware of who we are, and comprehend the services we offer. We will actively review all marketing communications that are forwarded to prospective clients."
HMRC said: 'We don't accredit or in any way approve agents and take firm action against any not complying with the law. We encourage customers to come to us to make their marriage allowance claim. It takes only a few minutes to complete the online application and eligible claims receive 100% of their entitlement. It is important that people thinking of using a tax agent are clear in advance about fees and are satisfied they'll get the service they sign up for.'
Tax refund tips for customers
- You might be eligible for a tax rebate if you've paid too much tax, perhaps from your current or previous job, on interest from savings or PPI, on foreign income or from pension payments.
- You can claim directly from HMRC at . There's no charge, and you'll receive 100% of the rebate. In some instances, HMRC will grant tax rebates automatically.
- If you think a contract term is unfair, you should complain to the trader. If the trader doesn't agree, we recommend you seek legal advice before breaking the terms of the contract. For more information about the Consumer Rights Act 2015:
- If you were led to believe that the third party company was an official government website, you can make a complaint to the Citizens Advice Consumer Service on 0808 223 1133.
- Infographic on Marriage Allowance:
About Which? Which? is the UK's consumer champion, here to make life simpler, fairer and safer for everyone. Our research gets to the heart of consumer issues, our advice is impartial, and our rigorous product tests lead to expert recommendations. We're the independent consumer voice that influences politicians and lawmakers, investigates, holds businesses to account and makes change happen. As an organisation, we're not for profit and all for making consumers more powerful. The information in this press release is for editorial use by journalists and media outlets only. Any business seeking to reproduce information in this release should contact the Which? Endorsement Scheme team at