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HMRC claiming overpayment from 7 years ago
sambalina
Posts: 37 Forumite
At the weekend my husband received a letter from HMRC claiming overpayment of approx £1400
09-10 WTC £600
10-11 WTC £400
11-12 CTC £400
This is all from a time before we were together and he was in a relationship with his son's mother.
The letter is in his name only - not joint between him and her.
Can they actually persue an overpayment that is 7 years old?
What is he actually liable to pay back? If any...possibly the CTC from 11-12? But the rest?
Is that allowed? Is there a limit on how far back they can go?
Thanks in advance
09-10 WTC £600
10-11 WTC £400
11-12 CTC £400
This is all from a time before we were together and he was in a relationship with his son's mother.
The letter is in his name only - not joint between him and her.
Can they actually persue an overpayment that is 7 years old?
What is he actually liable to pay back? If any...possibly the CTC from 11-12? But the rest?
Is that allowed? Is there a limit on how far back they can go?
Thanks in advance
0
Comments
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They can go back as far as they like, there's no limit. After 6 years they cannot take any court action however they don't need to as they have other ways of pursuing the debt.
He will be liable for 50% of any overpayment. He'll need to contact them to establish if that's the full overpayment or if his ex has already made any payments towards it.0 -
The question is how can these overpayments not be known about.
In year 10-11 the overpayment from 09/10 should have been on the renewal and clawed back in future months or years by reducing the amount paid.
At one time we owed over £2000 in overpayment. However, it has all been paid back over time and the reducing amount was clearly on the renewal.
Mind you I've got my own trouble with this lot at the moment.0 -
Darksparkle wrote: »They can go back as far as they like, there's no limit. After 6 years they cannot take any court action however they don't need to as they have other ways of pursuing the debt.
He will be liable for 50% of any overpayment. He'll need to contact them to establish if that's the full overpayment or if his ex has already made any payments towards it.
If he was expected to pay 50% of the overpayment then why don't they say so. Unless like council tax they pick on the easy target.0 -
So will they just adjust his tax code to claim it all back?
The letter says the debt collection agency has passed the debt back to them.
He says that he claimed what he was entitled to at the time0 -
If he was expected to pay 50% of the overpayment then why don't they say so. Unless like council tax they pick on the easy target.
Because legally they could claim back the full overpayment from either party however it is not HMRCs policy to do so. Their COP26 explains that in separation cases they seek 50% from each party. It's not a secret.0 -
So will they just adjust his tax code to claim it all back?
The letter says the debt collection agency has passed the debt back to them.
He says that he claimed what he was entitled to at the time
Obviously not otherwise there would be no overpayment. They'd have received awards notices at the time detailing any overpayments.
They'd likely seek direct payments first, he can contact them to discuss a time to pay arrangement. If he doesn't arrange payments with them then yes they could potentially change his tax code or from next year they could pass it to DWP to collect through a direct earnings attachment.0
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