Self Assessment Tax Scams: How to Stay Safe from Fraudsters

Article By: Jacob Thorne | Published on: 29 Jan 2025

Scammers are constantly evolving their tactics, especially as tax deadlines approach. By staying informed, recognising warning signs, and taking proactive steps, you can avoid falling victim to fraud and protect your finances. If ever in doubt, always contact HMRC directly through their official website to verify any communication.

As the 31st January Self Assessment deadline draws near, fraudsters are intensifying their efforts to exploit unsuspecting taxpayers. Reports indicate a significant increase in scam attempts compared to last year, with over 100,000 fraudulent attempts reported to HMRC.

Scammers are using increasingly sophisticated tactics to deceive individuals into divulging sensitive personal and financial information. From fake tax refund offers to aggressive payment demands, fraudsters use a range of tactics to exploit people’s fears and financial concerns.

Being aware of their strategies and knowing how to respond can help safeguard your data and finances. In this guide, we’ll break down how these scams operate and what you can do to protect yourself.

How Scammers Target Taxpayers

Scammers employ various deception techniques, often posing as HMRC representatives to steal sensitive information. The most common fraudulent activities include:

1. Fake Tax Refund Offers

One of the most common scams involves fraudsters impersonating HMRC and offering a bogus tax refund to lure victims into providing sensitive details. he message urges you to click a link or enter your bank details to "claim" the money.

Why It’s a Scam: HMRC never notifies taxpayers of refunds via text, email, or phone calls. Genuine tax refunds are processed only through your official HMRC account.

How to Spot a Fake Refund Offer:

  • HMRC never sends unsolicited messages about tax refunds via email, text, or social media.
  • Be wary of urgent requests or messages pressuring you to act quickly.
  • Do not click on links or provide any details—legitimate tax refunds are processed through your official HMRC account.
  • Check the sender’s email address—official HMRC emails end in gov.uk, not random domains.

What You Should Do:

  • Ignore and delete suspicious refund messages.
  • Never click on links or share personal details.
  • If you believe you’re owed a refund, log in to your HMRC account directly via gov.uk.

2. Fake Payment Demands and Threats

Fraudsters also use fear tactics to trick individuals into making immediate payments. They may leave voicemails, emails, or text messages claiming you have unpaid taxes and threatening legal action, arrest, or asset seizure if you do not comply.

Scammers often impersonate HMRC officials, claiming you owe unpaid taxes and must pay immediately. These calls or messages may:

  • Threaten legal action or arrest if you don’t pay immediately.
  • Demand payment via unusual methods such as cryptocurrency, gift cards, or bank transfers.
  • Use automated voicemails to create a sense of urgency.

Why It’s a Scam: HMRC never demands immediate payments via phone, text, or social media. They also never threaten arrest for unpaid taxes. They do not threaten legal action or demand payments through gift cards, cryptocurrency, or prepaid debit cards.

What You Should Do:

  • Hang up immediately—do not engage with the caller.
  • Report the scam to gov.uk to help prevent further fraud.
  • If you're unsure about your tax status, check directly with HMRC via your online account.

Scammers prey on fear, but knowing how HMRC operates can help you avoid falling victim to pressure tactics.

3. Phishing Emails and Malware Attacks

Some scams aim to install malware on your device or steal login credentials through fake HMRC-branded emails. These scams may appear legitimate, mimicking HMRC branding, but they contain malicious links or attachments that, when clicked, compromise your security. These messages may:

  • Contain urgent warnings about your tax status.
  • Include links to fraudulent login pages that capture your details.
  • Have attachments that, once opened, infect your device with malware.

Why It’s a Scam: HMRC will never send emails asking you to log in via a direct link or download an attachment.

What You Should Do:

  • Do not open attachments or click on links in unsolicited emails or messages.
  • Check the sender details—HMRC will never email or text you with payment requests or refunds.
  • Ensure your antivirus software is up to date to protect against malware.
  • Always log in manually to your HMRC account rather than following links from an email or text.

Official HMRC communications will never contain direct payment links or downloadable files—always verify messages before taking any action.

4. How to Report HMRC Scams

If you suspect a scam attempt, it’s crucial to report it immediately to prevent others from becoming victims. HMRC has dedicated reporting channels to handle various fraudulent activities.

Type of Scam How to Report
Suspicious emails Forward to [email protected]
Fraudulent phone calls Report directly on gov.uk
Scam text messages Forward to 60599

By reporting scams, you help HMRC take action against fraudsters and protect others from falling into their traps.

5. Staying Safe: A Proactive Approach

The UK Government’s ‘Stop! Think Fraud’ initiative aims to educate the public and reduce scam risks. Following HMRC’s guidelines and staying vigilant can protect you and others from fraud.

To keep yourself secure from fraud, follow these golden rules:

  • Verify Before You Act – Always check directly with HMRC if you receive an unexpected tax-related message.
  • Never Share Sensitive Information – HMRC does not request personal or banking details via email, text, or phone.
  • Be Wary of Unsolicited Messages – If you didn’t expect it, assume it’s a scam and investigate before responding.
  • Use Official HMRC Channels Only – Log in via gov.uk instead of clicking links in messages.

Final Thoughts

Scammers are constantly evolving their tactics, especially as tax deadlines approach. By staying informed, recognising warning signs, and taking proactive steps, you can avoid falling victim to fraud and protect your finances. If ever in doubt, always contact HMRC directly through their official website to verify any communication.

Remember: Stop. Think. Verify. Stay Safe.