tax credit question

[scoobydoo]

Hi

My sister has received, via a previous address, a claim for overpaid working tax credit for £4000. Apparently this is out of the blue, there is no breakdown and she says she has no clue what it is for. She has no available funds whatsoever to repay it.

As they do not know her current address she really wants just to ignore it and hope it will go away ( an understandable reaction) And as it apparently goes back 6 years she may not have records to check figures anyway.

Is there somewhere she can go for help before approaching them ? And can they reclaim this if it is an error on their side?

Thanks

[scoobydoo]

Re: tax credit question

bump

[wales01man]

Re: tax credit question

In the current financial climate i would expect the revenue to chase money owed to them they must be able to prove it in which case they will either by benefit deduction or tax code change get it back.it may be best to speak to them to find out whats going on it may be a mistake no sense in worrying waiting for the next step,
Hope someone on here can offer better advice but rember the revenue have more powers than most and are more inclined to get the money

[Inca]

Re: tax credit question

The DWP have decided to claw back 'debts' from 30 years back (so am told)...Tell her to phone them,,put the debt in dispute and they will send her the paperwork to fill in disputing it.(I did this,,they tried to get 2k out of me for WTC in 2005..I've never claimed WTC).

[FlamingParrot]

Re: tax credit question

HMRC have also been writing to me about Tax credits overpayment, but haven't been able to send me a proper breakdown, just vague statements about whether I may not have informed them of changes in circumstances, etc. :blah: :blah:

Sounds like they are taking a leaf out of the DCAs' book and sending random demands for payment to see who bites! :rant:

[scoobydoo]

Re: tax credit question

I have tried to convince her that even if it was correct 1) they should be able to give a breakdown and 2) they cant get blood out of a stone so if it is correct they should give her an amount to repay that is affordable ( about 50p a week in her present circumstance)

I like the idea of putting it in dispute at the same time as asking for a full breakdown of how they have come to these figures -

I have another colleague who had a similar bill - he just refused to pay stating it was their error and they went as far as phone calls from a debt collector - now it has gone quiet. But you never know when it will rear its ugly head again.


I will try and get her to get her head out of the sand.

[Inca]

Re: tax credit question

My son had a tax letter saying they had undertaxed him by 180odd quid in 2011/2012...and that he'd been getting JSA..My son has NEVER claimed JSA and certainly not £900.
I wrote to tax office and surprise surprise it was 'their error' and it has been 'wiped from the system' Cheeky gits !!!

[winner12]

Re: tax credit question

Hi
You would need to get in touch with them 0845 302 1429 is the number they are very good explain your circumstances ,they should send you a form to fill in to dispute the amount it could be written off.
If they insist it needs paying back you can agree an amount that suits you even if its a £1.
I imagine they will chase you forever and a day they have alot more powers then a DCA

[scoobydoo]

Re: tax credit question

Thank you Winner 12

I agree that my sister should contact them - because as I explained to he they will have her NI number and will able to trace where she works very quickly.

But trying to convince her of that is a different matter. I expect I will have to wait now until they contact her again and then she will be begging for help.

[winner12]

Re: tax credit question

If its any help I had an overpayment I quried and lost but when I rang after their decision they asked me what I could afford to pay and how long I wanted to pay it back I must admit it wasn`t a huge amount but they were very helpful

[Inca]

Re: tax credit question

Ok,,the Tax Office have now decided my son is due a tax rebate..Yay!! I hear you cry.......the tax rebate is for £1..........yes ONE POXY POUND msl:

[scoobydoo]

Re: tax credit question

I bet it has cost them more than the pound to decide that. Perhaps he should buy a lottery ticket with it- to celebrate beating the tax office