To ask the Chancellor of the Exchequer, what progress his Department has made on bringing forward legislative proposals to stop the use of legally binding assignments by repayment agents as part of claiming an Income Tax repayment.
Answered on
30 March 2023
HMRC consulted last year on measures to ensure individual taxpayers get the information they need to make informed decisions about whether to use a repayment agent. ‘Raising standards in tax advice: Protecting customers claiming tax repayments’.
The ‘Summary of Responses and Next Steps’ was published on 11 January 2023 which set out actions to improve transparency in the repayment agent market and protect customers. These include rendering void assignments of income tax repayments. As announced in the Budget, the Government has rendered void assignments of income tax repayments. This took effect from 15 March 2023.