HMRC has been accused of enabling fraud by processing fictitious tax rebate claims submitted by third-party agents on behalf of unsuspecting taxpayers. Since 2020, tax relief scams have cost the Treasury billions, with inadequate checks potentially leaving innocent taxpayers liable for fraudulent claims. Jim Mackie, a former police officer, reported that HMRC failed to investigate a £5,000 claim made in his wife's name, stating: "HMRC is happy to sit back, let it happen, then blame us, the public." The Low Incomes Tax Reform Group (LITRG) has highlighted that unregulated tax claims agents may be misusing personal information to file claims without consent. Joanne Walker from LITRG noted: "HMRC continue to operate on a 'process now, check later' basis." Although HMRC has tightened its processes for PPI tax relief claims, issues persist, and Waltonbridge, a firm involved in the scandal, has since shut down its website.
