HMRC issues warning to 2 million state pensioners | Personal Finance | Finance
HM Revenue and Customs (HMRC) has issued a warning to two million state pensioners across the UK. The warning has been echoed by Money Saving Expert, the site founded by financial guru Martin Lewis, which has also issued advice to pensioners.
They are being warned of potential scams as the Department for Work and Pensions (DWP) continues to claw back money from people who claimed the full amount of Winter Fuel Payment despite having an income of over £35,000. Anyone who exceeds the threshold, even if it’s just by £1, will have to fully pay back the money through small deductions to their monthly instalments. However, HMRC says the clawback scheme is being capitalised on by opportunistic fraudsters.
As reported by Birmingham Live, Myrtle Lloyd, HMRC’s Chief Customer Officer, said: “Criminals are great pretenders and often use fake letters, emails, calls and texts to impersonate HMRC and trick people into giving them money.
“I’d encourage anyone who’s unsure to use our online tool at GOV.UK to check whether and how their payment will be recovered – there’s no need to call us.”
HMRC has issued details of how Winter Fuel Payments will be recovered from individuals with income above £35,000. Those repaying through PAYE will see their tax code adjusted, with the money deduced in small instalments, while those repaying through self-assessment will see the amount included on their tax return.
There is no tapering of the clawback – just £1 of income above £35,000 will make the difference between retaining or losing the payment. Meanwhile, if pensioners know their income will exceed £35,000, they can opt out of receiving the payment to avoid having their money clawed back.
The Money Saving Expert site added: “We are concerned that scammers could replicate the communications from HMRC, so want to help you spot a scam.”
It continued: “Genuine HMRC letters will make it clear that NO action is required. The notice will simply explain that your tax code will be changed for the upcoming tax year, due to you needing to repay the Winter Fuel Payment you have received.
“Genuine HMRC texts and emails WON’T include any links. The messages will instead prompt you to navigate to Gov.uk yourself so you can check your new tax code in your personal tax account.
“If a letter, text or email claiming to be from HMRC is urging you to provide details or make a payment, it’s likely a SCAM. If in any doubt, don’t respond directly – contact HMRC using its official details listed on Gov.uk.”
