income tax arrears ,can it be added to an iva?

dankerrysmum

hello everyone,
i am in scotland so i know laws are a bit different ,but basically oh and i have a mortgage and we have just been hit with 10k back dated income tax ,along with that an overpayment of tax credits which could work out around 7k also over the last 3 years ,things were tight enough without this ,but basically tax credits will be dropped from £500 per month to £0,plus we will have to pay back the tax arrears ,we were wondering if tax arrears and tax credit over payments could be added to a trustdeed/iva or would a das be better as i dont want to lose the house
i know cab would be better to give specifics ,but has any one had encounters with the tax man ? did he accept the iva terms?
many thanx in advance

dankerrysmum

please anyone???

Dr_Hook

In terms of IVAs, income tax arrears from previous tax years (i.e. pre-April 2008) can usually be included.

Tax credits overpayments are more of a grey area - the overpayment is usually included in the IVA, but (AFAIK) standard practice is not to assume that future tax credits payments will be reinstated at the full amount as HMRC may or may not stop recovering the overpayment from future awards.

Your best bet would be to contact your local CAB or speak to CCCS/Payplan/etc for advice.