suprise letter

hedgemonkey66
hedgemonkey66 Posts: 15 Forumite
edited 15 May 2017 at 8:46PM in Benefits & tax credits
hi,
today i recieved a letter out of the blue from HMRC...

your tax credit debt of £47**.00
our debt collection agency has returned your debt to us.
we're very disappointed that, despite previous requests for payment, you still haven't paid us what you owe.
we now believe that you have made an active choice to ignore us, so we're going to look at other ways to pursue this debt. if you don't pay or contact us in the next few days, one of our collectors may call at your home to discuss payment options.

1) this alleged debt is from 2003, 14 years ago!
2) although there was a joint claim with an ex partner at around that time, i have NEVER received ANY correspondence in regard to it. we separated, i moved, the payments stopped, i presume she informed HMRC.
3) i am on the electoral roll, have a current tax credit claim with a new partner, so have not been exactly difficult to find, surely their 'debt collection agency' would have been in touch?
4) everything i have read online say this alleged debt is statute barred, even if i did owe it, which i dispute.
i would normally just ignore it, but my partner has just buried her brother and is off work, and the last thing i need is some bloke knocking the door about some alleged debt from years before i met her....

any advice, anyone? thanks.
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Comments

  • Tigsteroonie
    Tigsteroonie Posts: 24,954
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    Debts to government agencies such as HMRC aren't subject to the usual limitations and don't become 'statute barred' after six years.
    :heartpuls Mrs Marleyboy :heartpuls

    MSE: many of the benefits of a helpful family, without disadvantages like having to compete for the tv remote

    :) Proud Parents to an Aut-some son :)
  • thats what i thought, but there's a hell of a lot of info to the contrary, including solicitors' pages and other 'informed' scources, not just some 'blokes down the pub'.
  • TELLIT01
    TELLIT01 Posts: 16,366
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    Safest route is to call them. They have now traced you and it won't go away by ignoring it.
  • NYM
    NYM Posts: 4,066
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    hi,
    today i recieved a letter out of the blue from HMRC...

    your tax credit debt of £47**.00
    our debt collection agency has returned your debt to us.
    we're very disappointed that, despite previous requests for payment, you still haven't paid us what you owe.
    we now believe that you have made an active choice to ignore us, so we're going to look at other ways to pursue this debt. if you don't pay or contact us in the next few days, one of our collectors may call at your home to discuss payment options.

    1) this alleged debt is from 2003, 14 years ago!
    2) although there was a joint claim with an ex partner at around that time, i have NEVER received ANY correspondence in regard to it. we separated, i moved, the payments stopped, i presume she informed HMRC.
    3) i am on the electoral roll, have a current tax credit claim with a new partner, so have not been exactly difficult to find, surely their 'debt collection agency' would have been in touch?
    4) everything i have read online say this alleged debt is statute barred, even if i did owe it, which i dispute.
    i would normally just ignore it, but my partner has just buried her brother and is off work, and the last thing i need is some bloke knocking the door about some alleged debt from years before i met her....

    any advice, anyone? thanks.


    You're only responsible for 50% of the debt.

    I'm unsure about the debt becoming statute barred.
  • Londonsu
    Londonsu Posts: 1,391 Forumite
    I would send them a subject access request
    https://www.gov.uk/government/publications/data-protection-act-dpa-information-hm-revenue-and-customs-hold-about-you/data-protection-act-dpa-information-hm-revenue-and-customs-hold-about-you
    asking for all the data they hold about the alleged debt, I believe they cant continue collection whilst the debt is in dispute but I am sure one of our resident tax credit will have more info, I also believe that in the case of a joint claim they can go after either partner so if your ex partner didn't inform HMRC you may still be liable but again hopefully someone with more knowledge will be along.


    This link may help
    http://revenuebenefits.org.uk/tax-credits/guidance/how-to-deal-with-hmrc/dealing-with-debt/
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    With ex partners it is HMRCs policy to collect 50% from each. They can technically collect from one party however it's not their policy to do so.

    If the debt is from 2003 it is out of time for any dispute or appeal action unless you can prove that you have never been notified before. The subject access request mentioned above would be how you would do this. However all HMRC need to show is that at least one letter has been sent to you. They don't need to prove you actually received it.

    I'm surprised your debt went to DCA and you didn't hear from them. They normally make repeated calls/send multiple letter etc.

    After 6 years they can't take court action. However they don't need to as they have other ways to collect the debt e.g. changing tax codes. From next year they will be able to do pass debts to DWP to do a DEA.

    My suggestion would be to call them to confirm this is actually genuine and make a subject access request for information on when they have tried to notify you before.
  • Icequeen99
    Icequeen99 Posts: 3,775 Forumite
    hi,
    today i recieved a letter out of the blue from HMRC...

    your tax credit debt of £47**.00
    our debt collection agency has returned your debt to us.
    we're very disappointed that, despite previous requests for payment, you still haven't paid us what you owe.
    we now believe that you have made an active choice to ignore us, so we're going to look at other ways to pursue this debt. if you don't pay or contact us in the next few days, one of our collectors may call at your home to discuss payment options.

    1) this alleged debt is from 2003, 14 years ago!
    2) although there was a joint claim with an ex partner at around that time, i have NEVER received ANY correspondence in regard to it. we separated, i moved, the payments stopped, i presume she informed HMRC. A joint claim has joint responsibilities - you needed to call HMRC to tell them that you had separated so even if you were in time for a dispute you would have failed in your responsibilities by not doing this (assuming a delay caused some of the overpayment)
    3) i am on the electoral roll, have a current tax credit claim with a new partner, so have not been exactly difficult to find, surely their 'debt collection agency' would have been in touch? It is surprising you haven't heard from them but I have heard of other cases where this happens. They only get 12 months to try and recover the debt
    4) everything i have read online say this alleged debt is statute barred, even if i did owe it, which i dispute. Tax credit debts are statute barred (unlike tax which are not) however as Darksparkle says this only stops HMRC taking county court action and getting a CCJ - it doesn't stop them using their other powers including distraint which is where a bailiff will turn up to cease goods
    i would normally just ignore it, but my partner has just buried her brother and is off work, and the last thing i need is some bloke knocking the door about some alleged debt from years before i met her....Exactly the reason you need to set up some sort of repayment plan with HMRC

    any advice, anyone? thanks.

    I've put some answers in red above - there is a lot of wrong information on this thread. As Darksparkle says - you are out of time for any dispute or appeal and they will not stop recovery action while you do any sort of request for information. You need to engage with them and ensure that you are only paying 50% and then set up a repayment arrangement of something that is affordable.

    IQ
  • thank you.
    i have put in a subject access request, and written to them, pointing out it was a joint claim, reiterating the fact i have never received any communication from them or anyone else regarding the claim, and pointing out that, as a stay-at-home dad with zero income or assets, i would request a 12 month suspension of recovery, should they show the debt exists. as my circumstances will not change after 12 months, upon review, the debt should be remitted as per HMRC policy.
  • p00hsticks
    p00hsticks Posts: 12,671
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    as a stay-at-home dad with zero income

    Didn't you say you were currently receiving tax credits ?
  • my partner has a current claim for working and child tax credits. i am named on the claim as her partner, with an income of zero.
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