Two men have been arrested in Newham on suspicion of running a multi-million pound tax fraud through TikTok, in an investigation that has so far seen HM Revenue and Customs block £153 million of suspected fraudulent claims.
The pair, both Romanian nationals aged 22 and 25, were detained by HMRC cybercrime investigators at addresses in Newham on 23 April. Both have since been released on bail.
Investigators believe the two men used the social media platform to persuade UK taxpayers to hand over their personal tax account details, dangling the promise of financial rewards in return. The details, HMRC says, were then used in an attempt to submit fraudulent tax repayment claims.
The arrests come amid a wider warning from the tax authority urging the public to be cautious of social media posts claiming to offer "risk-free" cash in exchange for sharing personal information.
HMRC says those who hand over their tax details risk having their identity stolen, their bank accounts frozen, and may even find themselves liable to repay the money — or face prosecution themselves.
Simon Grunwell, head of cybercrime investigations at HMRC's Fraud Investigation Service, said: "You should protect your personal tax details in the same way you protect your bank details. Claims of quick, risk-free cash in return for sharing your personal information are a scam. They aim to defraud you and the taxpayer.
"Anyone who comes across adverts on social media or is approached in any way with promises of easy money through their tax credentials should think twice and report it on GOV.UK."
The two men were arrested on suspicion of fraud by false representation, encouraging or assisting the commission of offences, unauthorised access with intent under the Computer Misuse Act, and money laundering offences.
HMRC says it has seen similar suspected scams operating across multiple social media platforms, including Instagram and Snapchat. Criminals, the agency warns, typically hide their own identities — meaning that those whose details have been used can find themselves liable to HMRC for sums they never received.
The tax authority stressed it would never use social media to offer a rebate or to ask for personal or payment information.
Anyone with information about tax fraud can report it at www.gov.uk/report-tax-fraud. Suspicious HMRC-related social media accounts can be reported by emailing branddefence@hmrc.gov.uk.
