Tax Credits

legendswraith · April 17, 2006

Right received a 2g tax demand for an overissue of tax credits from 3 years ago this week (remember what i said about attempting mods and things blowing up in my face). Well i have attempted to ring them and they are always engaged the emails been taken offline so my last recourse is snail mail.

Issue one i have is they are asking me for repayment frm me and the ex

Issue two i have my P60s and there is no amount in the tax credit box etc

I am going to tell them to kiss my hairy beanbag basically as i haven't had anything off them and they seem to think it was paid into my wages.

Is anyone ese having this problem or am i just cursed

Austin

Rich_Bee · April 19, 2006

Austin,

I had a similar situation about 18 months back, they'd paid us (they calculate what's due on household income with a few factors built in,) a measly £145 for a year. This was paid direct into the bank rather than through wages. They then realised I couldn't even have this and so wanted it back which I had to pay in two payments. I now get nothing

This is even though my wife hasn't worked for 6 years to look after our little kids! We can't get tax credits now due to my earnings. We also can't claim any money for childcare at home even though if she worked, we could claim a huge amount in childcare vouchers I've never agreed with that.

For the points you raised, you say 'the ex', the liability will be on both of you for any overpayments as they should have been awarded as a couple. If you had split at the time then I'm not sure how they'll calculate who earns what. Maybe if one wage only is considered then the payments will stand. I also believe this is the only type of tax of payment they can ask for immediate payment on (may have been a rumour after all the c0ck ups from while back though). There were cases where the overpayments of a certain size were wiped out as it was unreasonable to expect people to find that cash. You may get into this bracket but not sure of the benchmark.

As for the P60, I don't think they were ever listed on there. The tax credit allowance was based on the total earnings found on the P60 for a given year, rather than included as an item on it.

Hope this helps, not good news but some room for manouvre. Fight them all the way :D

legendswraith · April 19, 2006

Austin,
I had a similar situation about 18 months back, they'd paid us (they calculate what's due on household income with a few factors built in,) a measly £145 for a year. This was paid direct into the bank rather than through wages. They then realised I couldn't even have this and so wanted it back which I had to pay in two payments. I now get nothing

This is even though my wife hasn't worked for 6 years to look after our little kids! We can't get tax credits now due to my earnings. We also can't claim any money for childcare at home even though if she worked, we could claim a huge amount in childcare vouchers I've never agreed with that.

For the points you raised, you say 'the ex', the liability will be on both of you for any overpayments as they should have been awarded as a couple. If you had split at the time then I'm not sure how they'll calculate who earns what. Maybe if one wage only is considered then the payments will stand. I also believe this is the only type of tax of payment they can ask for immediate payment on (may have been a rumour after all the c0ck ups from while back though). There were cases where the overpayments of a certain size were wiped out as it was unreasonable to expect people to find that cash. You may get into this bracket but not sure of the benchmark.

As for the P60, I don't think they were ever listed on there. The tax credit allowance was based on the total earnings found on the P60 for a given year, rather than included as an item on it.

Hope this helps, not good news but some room for manouvre. Fight them all the way :D

the thing is they allege that it was paid with my wages as i was in the RAF at the time well there was never any seperate payments down on the pay statement and one thing the armed forces are good at is itemising.

Even if they do demand immediate payment if they can find 2 grnd i have then they are welcome to it as if i had found it already it would have been spent on the car.

Rich_Bee · April 20, 2006

the thing is they allege that it was paid with my wages as i was in the RAF at the time well there was never any seperate payments down on the pay statement and one thing the armed forces are good at is itemising.

Even if they do demand immediate payment if they can find 2 grnd i have then they are welcome to it as if i had found it already it would have been spent on the car.

Check this link out and see what type of credits they say they are. There are two sorts - Child Tax Credit and Working Tax Credit.

Might help.

http://www.direct.gov.uk/MoneyTaxAndBenefi...0438&chk=IRZWFs