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Please be aware Swift Refunds does NOT use deeds of assignment, this information is simply to warn you about the practice.
According to Money Box, the number of complaints to HMRC regarding companies claiming tax repayments on their behalf without the person’s knowledge or permission has tripled in the past 3 years, these complaints are due to ‘deeds of assignment’.
Swift Refunds does NOT use ‘deeds of assignment’, instead, we ask our clients to authorise us as their agent which involves completing a 64-8 form. a deed or letter of assignment is different from appointing an agent via form 64-8. This form gives us access to our customer’s HMRC records so we can get their tax refund, the difference is that this way we are not legally binding the customer as you would with a deed of assignment, the customer still has the power to remove that at any time.
A deed or letter of assignment is a legal document used when a person signs over their right to something, usually money related, for someone else to claim on that person’s behalf. However, due to a deed of assignment being a legal document, it means both parties have to agree to cancel it therefore it is impossible for just one party to do so.
A lot of the time, the ‘deed’ is hidden within the terms and conditions when someone signs up or applies for the agent, meaning just by simply ticking a box on an enquiry form the taxpayer may not be aware they have signed up to an agreement which may affect them in the long run.
For example: (for illustrative purposes only)
Ian Smith received a letter from HMRC informing him about his £1,900 tax refund for his work expenses, however, the letter explained that the refund would be paid out to a tax repayment company, as requested due to him signing a deed of assignment. Ian had never heard of this company, he tried contacting the company where he couldn’t get through therefore the deed is still active as he needs their permission to remove it, Ian never received his money.
Especially with the current financial climate, we think the practice of using deeds of assignment should be stopped to prevent individuals from being caught out and missing out on their own money. We only use 64-8 authorising your agent form which can be removed at any time by you. If you would like to find if you are eligble for a tax rebate, please CLICK HERE to find out more.
