Millions of Brits receiving tax refund letters: how to avoid scams.

Across the UK, thousands of people could receive refunds if they have overpaid income tax.

According to The Sun: However, scammers are taking advantage of this, sending seemingly legitimate emails, messages, and even fake letters designed to deceive individuals into providing personal information.

Officials warn that genuine letters from HMRC clearly explain whether there is a debt, and refunds are typically paid directly into a bank account or mailed as a check.

More than eight million workers previously received hundreds of pounds as a refund of overpaid tax.

Reports sent by The Sun indicate that HMRC refunded an astonishing £8.3 billion for overpaid tax for the 2022/23 year — with an average compensation of £943 per worker.

Trap of the wrong tax code

Anyone receiving a salary through PAYE receives a code from HMRC, which is passed through their employer, and you will see it on your payslip.

This code determines how much tax is deducted from your salary — therefore, if it is incorrect, you could be losing money.

Workers are often placed on the wrong code if they change jobs or have more than one source of income.

At the end of each financial year in April, HMRC sends out so-called P800 letters informing people if they have overpaid or underpaid.

But you don’t have to wait — you can check your code online at any time through your personal tax account, and if it looks wrong, contact HMRC directly.