How to Safeguard Against Fraudsters Targeting VAT Repayment Traders

• Fraudsters are targeting companies in VAT repayment positions
• They contact HMRC posing as the business to change bank details
• VAT refunds are being paid into fraudsters’ accounts instead of taxpayers’
• Despite HMRC controls, fraudsters are still successful
• Businesses can update information online or with a paper form
• HMRC prefers to pay VAT refunds directly into bank accounts
• Housebuilders are a common target, but other sectors are also at risk
• Businesses should monitor and confirm details with HMRC regularly
• Any suspicious activity should be investigated promptly
• Report any delays in receiving VAT refunds to HMRC

Source: saffery.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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