The typical amount owed to these taxpayers comes out at about £453 per person
HMRC emphasised that you won’t receive this money automatically(Image: SrdjanPav via Getty Images)
The tax authority has issued a warning that up to one million Brits could be losing out on unclaimed tax rebates worth an average of £453 each. It has also come to light that hundreds of thousands are at risk of missing out simply because they have not examined their accounts.
In a short message on X this week, HM Revenue & Customs (HMRC) revealed that approximately one million taxpayers have yet to claim funds they are owed from overpaid tax – frequently because they never verified whether they were entitled to a refund.
This could leave everyday workers and pensioners thousands of pounds worse off if they do not take swift action, the government department warned.
The typical sum owed to these taxpayers works out at around £453 per person, according to the official notice, with many overpayments resulting from straightforward errors such as being placed on an incorrect tax code, switching jobs or retiring without updating HMRC’s records.
HMRC emphasised that you will not receive this money automatically – claimants must examine their personal tax account on GOV.UK or the HMRC app and lodge a claim.
Officials have also cautioned that fraudsters are taking advantage of the situation by sending fake texts, emails or calls claiming taxpayers are entitled to refunds in an attempt to steal personal and banking information. Over 135,000 HMRC-related scam reports have been recorded recently, including approximately 29,000 involving fraudulent tax refund claims, and the volume of deceptive approaches continues to climb.
Lucy Pike, HMRC’s Chief Security Officer, warned: “Millions of people file a tax return each year and scammers mimic HMRC to try and catch unsuspecting victims out. I’m urging people to stay vigilant and if any emails, text messages or phone calls appear suspicious – don’t be lured into clicking on links or sharing your personal information – report it directly to HMRC.”
Specialists warn that countless people are missing out on funds simply by disregarding correspondence or neglecting to create online tax accounts – and with fraudsters on the prowl, the risk of handing over money to criminals is considerable.
Legitimate tax refunds will be communicated through HMRC’s secure system or via post – the department will never request bank or personal details through an unsolicited email or text message. Financial advisers are pressing taxpayers to log into their accounts without delay – before it’s too late and unclaimed refunds are lost for good.
