We would like to make you aware of an evolving scam risk affecting new VAT registrations.

Scammers are fraudulently linking VAT services to a Government Gateway ID they control, before the genuine business owner has set these up themselves. Their likely aim is to submit false VAT returns and divert repayments into their own bank accounts.

Because these VAT registrations are new, we may not know the registration is live and most certainly we would not yet hold HMRC authority (64-8) to act on your behalf in these cases, which means you will need to take action directly if you are affected.

To avoid becoming a target

• Set up your Government Gateway ID promptly after VAT registration and add VAT as a service straight away.
• Remain alert if you experience difficulties adding VAT to your account.
• Contact us immediately if you believe you may be affected, and we will guide you through the steps.

What to do if this happens to you

If, when adding VAT to your Government Gateway ID, you discover that the VAT service has already been linked to another account:

1. Call HMRC VAT Online Services on 0300 200 3701.
2. Follow the options in sequence: Option 1 → Option 2 → Option 3.
3. Provide HMRC with your VAT details, including:

• VAT Registration Number
• Registration Date
• Postcode associated with the VAT registration

HMRC will arrange to deregister the VAT service from the fraudulent gateway.
This process may take up to 7 days, after which you can add VAT to your own genuine Government Gateway ID.

Looking ahead

It is not yet clear how HMRC will counteract this scam in the longer term, given its prevalence. It is possible that additional security measures will be introduced, such as requiring an activation code to be posted to the registered VAT address (similar to PAYE and CIS), which may slow the process but help protect against fraud.

We will continue to monitor the situation and update you on any new developments from HMRC.