HMRC accused of facilitating fraud by firms seeking rebates on behalf of unwitting taxpayers

The campaign group Low Incomes Tax Reform Group says unscrupulous firms are obtaining personal information of individuals in order to submit tax rebate claims. Photograph: Getty Images/iStockphoto

HMRC has been accused of facilitating fraud by paying fictitious tax rebate claims submitted in the name of unwitting taxpayers by third-party agents.

Taxpayers can apply for a rebate if they have paid too much tax. They can choose to appoint an agent to do this on their behalf, but some firms are harvesting details of individuals to make bogus claims.