Research conducted by tax refund specialist RIFT indicates that up to 518,650 permanent construction employees could be eligible for tax refunds on travel between temporary workplaces. Unlike self-employed workers who deduct travel expenses as part of their annual self-assessment tax returns, many PAYE construction operatives are failing to claim these expenses back.
RIFT calculates that almost £12.5m of tax refunds go unclaimed in London alone, with a further £4.7m unclaimed in both Birmingham and Glasgow.
HMRC makes £5m a year from the 0845 numbers that the public must call to contact them. More than £500,000 of this is generated from calls that go unanswered by HMRC agents.
RIFT managing director Jan Post described it as a “a national scandal” that so many people were missing out on refunds to which they are entitled while HMRC creams it in from anyone ringing in to enquire about it.
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