tax credit overpayment and LCS

[Mrree]

In August/September 2014, I received a letter from the hmrc saying I owe over £2000 in overpaid tax credits. During that time I phoned them up and also submitted a dispute and after doing that heard absolutely nothing from them so assumed my dispute was successful. After two years of radio silence I receive out of the blue a letter from a collections company LCS saying I need to pay this amount in full otherwise there will be court proceedings against me. At first I thought it was a scam so called hmrc and they confirmed it tried calling LCS and every attempt to phone then resulted in being on hold and no answer. They eventually phoned me and was quite aggressive requesting the money is paid in full. Phoning hmrc again they said I need to write a dispute again explaining the 2 years silence which I did and was refused as 2 years was too long to have a dispute and can only be performed within 6 months of the original letter. I have now submitted a complaint and forwarded the letter to LCS as well their response was a letter of further action and as of yet no reply from hmrc. I really don't know what to do I believe I was entitled to the credits and don't owe it back in the complaint I have requested that I have all my notes letters and phone calls relating to the claim as well. Any advice will be really helpful.

[des8]

Re: tax credit overpayment and LCS

Hi and welcome.

Following your first dispute you should have received a mandatory reconsideration notice.
There is no time limit on this, but it should be done in a reasonable time..
Their response to your phone call was "resubmit your dispute" which was incorrect as it meant in effect it would be dealt with as a new dispute and therefore out of time (90 day limit?).
As you have never received a "Mandatory reconsideration notice" you have effectively been denied your right to appeal.

Besides the letter of complaint it could be worthwhile involbving your MP

PS only deal with HNMRC in writing. Refuse to discuss the matter on the phone