Question to the HM Treasury:

To ask the Chancellor of the Exchequer, how many people seeking refunds as a result of the changes to the Loan Change made in response to the Morse Review have been refunded by HMRC.

This question is answered on the basis that your question is about HMRC’s Disguised Remuneration (DR) Repayment Scheme 2020. Following Lord Morse’s Independent Loan Charge Review in 2019, the Government introduced legislation requiring HMRC to establish a scheme to repay relevant Voluntary Restitution elements of DR settlements.

These amounts were voluntary payments that taxpayers had agreed to make as part of settlements concluded before changes were made to the scope of the Loan Charge. Individuals and employers had until 30 September 2021 to apply to HMRC for a refund or waiver.

HMRC repays amounts that were paid in DR scheme settlements, and/or waives amounts of instalments due that have not yet been paid if certain conditions are met.

As of 28 January 2022, HMRC had processed approximately 1500 applications, of which approximately 1000 had received either a repayment, a waiver, or both. Approximately 500 of the applications processed at that date were either invalid or ineligible.