HMRC has updated its Standard for Agents to reflect recent changes to the treatment of tax repayments. Section 2.3.3 ‘interaction with clients’ has been revised to bring it into line with the announcement at Spring Budget 2023 that assignments by individuals of the right to receive a tax repayment would no longer be valid for tax purposes from 15 March 2023.
Following concerns around repayments made to some tax repayment agents, the standard confirms that tax repayments belong to the taxpayer and will be paid directly to them. Taxpayers can still choose to nominate a third party to receive the repayment on their behalf, but the taxpayer remains legally entitled to the repayment.
HMRC has updated its Standard for Agents to reflect recent changes to the treatment of tax repayments. Section 2.3.3 ‘interaction with clients’ has been revised to bring it into line with the announcement at Spring Budget 2023 that assignments by individuals of the right to receive a tax repayment would no longer be valid for tax purposes from 15 March 2023.
Following concerns around repayments made to some tax repayment agents, the standard confirms that tax repayments belong to the taxpayer and will be paid directly to them. Taxpayers can still choose to nominate a third party to receive the repayment on their behalf, but the taxpayer remains legally entitled to the repayment.
