HMRC One to Many letters: Users of Money Service Businesses

HMRC have advised us that they have recently commenced a One to Many letter campaign directed at individuals who have used Money Service Businesses (MSBs) during the tax year ended 5 April 2023 either to send money abroad or cash cheques. The campaign is intended to be educational, informing and reminding individuals that if they have been using MSBs to send untaxed money abroad or cash cheques from untaxed income, then they need to declare this income on their Self Assessment tax return and submit it to HMRC by 31 January 2024. Some individuals may also need to register for Self Assessment.

Six different letters are being issued.

Hidden economy money transfers (Letter TandSC1MM). This letter relates to those that have sent money abroad and are not registered for Self Assessment (SA).

Formal economy money transfers (Letter TandSC2MM). This letter relates to those that have sent money abroad but are registered for SA but may have under declared.

Hidden economy cheque cashers (Letter TandSC3MM). This letter relates to those for that have cashed cheques but are not registered for SA.

Formal economy cheque cashers (Letter TandSC4MM). This letter relates to those that have cashed cheques, are already registered for (SA) but may have under declared.

Hidden economy that both cashed cheques and transferred money aboard (Letter TandSC5MM). This letter relates to those that have both cashed cheques and sent money abroad and are not registered for SA.

Formal economy that both cashed cheques and transferred money aboard (Letter TandSC6MM). This letter relates to those that have both cashed cheques and sent money abroad and are registered for SA but may have under declared.