High income child benefit - charges for benefit I never received??

Pasanda · 17 December 2017 at 10:29AM

Yesterday I had a letter from HRMC stating I was owung them 3.5k in tax to cover higher income / child benefit charges.

Thing is, ever since the new threshold rules were introduced in 2013 I never claimed a penny in child benefit (nor my husband). Nothing has been going into our bank account either. Prior to this I was receiving the benefit like all families were.

I did receive a letter in 2015 asking me to confirm details to continue to be eligible for the benefit and if I didnt comply I would no longer be eligible. I called them at that time as I was confused since not getting the benefit and they said I didnt need ti do anything.

How can they claim that I have to repay something I never got? Why do they think they are paying me this? Dont they check their records to see if they actually have paid me anything?

Anyone else been in the same situation? Any advice on what ”evidence” I need to provide that I have not been paid (which is tricky unless I send them all my montly bank statements from the last 4 years).

dori2o · 17 December 2017 at 10:50AM

They think you were receiving is as your name/household will be included on a data set sent to HMRC (income tax department) from the Child benefit office.

If you genuinely didn't receive it as your claim was stopped or ended before the dates in question, get a letter from the Child Benefit Office confirming when your payments stopped and send this to HMRC.

Although the Child Benefit Office falls under the umbrella of HMRC the 2 records are not linked. They are in fact 2 separate departments but both fall under the HMRC umbrella.

xylophone · 17 December 2017 at 11:27AM

Yesterday I had a letter from HRMC stating I was owung them 3.5k in tax to cover higher income / child benefit charges.

I would write back (and keep a copy and obtain proof of posting) stating that you have not received CB since (date of last receipt) and giving your authority (in case this is required under data protection) for the Income Tax section to cross check with the CB section.

dori2o · 17 December 2017 at 11:34AM

xylophone wrote: »

I would write back (and keep a copy and obtain proof of posting) stating that you have not received CB since (date of last receipt) and giving your authority (in case this is required under data protection) for the Income Tax section to cross check with the DB section.

Can't do that I'm afraid.

Where a calculation is issued showing a tax liability it is for the taxpayer to prove no liability exists.

OP should contact CBO, get a letter confirming when payments stopped and forward this to HMRC.

xylophone · 17 December 2017 at 12:18PM

OP should contact CBO, get a letter confirming when payments stopped and forward this to HMRC.

Fair (or rather not fair!) enough!

I would still write to the Income Tax section in reply to the letter explaining that no CB has been received and saying that a letter of confirmation ( which would be forwarded asap) was being requested from the CB section.

When I need to deal with HMRC I like to have a clear written record/audit trail!

badmemory · 17 December 2017 at 2:45PM

I do find it interesting that they can pass info backwards and forwards when it suits but not when it doesn't. So they don't pass CB info over but HMRC know exactly how much state pension you are going to get & in fact have received.

badmemory · 17 December 2017 at 2:51PM

Pasanda wrote: »

Anyone else been in the same situation? Any advice on what ”evidence” I need to provide that I have not been paid (which is tricky unless I send them all my montly bank statements from the last 4 years).

You could also have a problem as it may have been paid into some scammers account. Back then my computer security would not let me go onto an HMRC website as it was unsafe. Not long after they did show a loss of info - so who knows.

Dazed_and_confused · 17 December 2017 at 2:54PM

Pasanda

High income child benefit - charges for benefit I never received??

The child benefit charge has nothing to do with child benefit you received. Are you absolutely certain the benefit has not been received by the household.

I cannot see any benefit in sending bank statements, all that proves is that no child benefit went into that particular account. If you read enough threads on here you will find plenty of people have dozens of accounts.

Personally I would suggest you have a chat with your partner/spouse and if still certain of your facts follow the suggestion xylophone originally made.

Pasanda · 17 December 2017 at 5:05PM

Thanks for all your ideas and replies.

To answer some questions: Yes, I am absolutely certain the benefit has not been paid during this time. I have double checked online and last payment was Dec 2012 which went into our joint account. The benefits have always been in my name, I manage all the finances in our household - every month I go through every single transaction, we have joint finances and no saving accounts (we have one of those "one accounts").
There could obviously be a risk they have for some reason started to pay in January 2013 into someone elses account.

@Dazed and Confused: What do you mean with "Child benefit charge has nothing to do with child benefit you received"? Not sure I understand. What would the charge be for if not for allegedly receiving benefit? (which I haven't).

Based on all your ideas I think I will do the following tomorrow:
1. Phone the HMRC (wish me luck!) and ask what they suggest I do if I have not been paid the benefit. They might be able to advice if a letter or similar is needed from the Child Benefit office. Also ask them if payment deadline can be frozen until this is resolved or if I am better to pay and then appeal and get a refund (I don't want it to go to any debt collectors or impact my credit rating)
2. Depending on how that first call goes, Phone the child benefit office and ask why HMRC thinks I have been receiving child benefit. Ask if they can confirm if they have been paying them out since Jan 2013 (and if so if they can send me an email or letter with the bank account as I suspect they won't tell me over the phone). Ask if I can get a letter confirming I have not been getting it (assuming they can do that and that they agree they haven't paid me anything).

I then assume based on the outcomes of those two calls that I need to write some kind of appeals letter.

Thanks everyone for helping me "organise my approach".

badmemory · 17 December 2017 at 5:27PM

If you can ring before 8am, not only should you be answered more quickly but also tend to get someone who knows what they are doing.

Pasanda · 17 December 2017 at 5:49PM

badmemory wrote: »

If you can ring before 8am, not only should you be answered more quickly but also tend to get someone who knows what they are doing.

Thanks! It says they don't open until 8.30 though .... (but the child benefit office open at 8)

High income child benefit - charges for benefit I never received??

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