I owe tax credits 30K !

haddit

Any helpful advice gratefully received....I have received a letter from a compliance officer that states i owe Tax credits 30K and the debt recovery team will contact me to arrange payment in due course. They say I will not receive a penalty fee on this occasion! Does this mean I won't be prosecuted too?

I am recently bankrupt following the failure of my business. I neglected to tell them about changes in my circumstance including changing childcare provider and a new partner moving in. This goes back to 2005.

What arrangement am I likely to be offered to pay back such a sum ? Obviously do not have that kind of money and god knows how they arrived at that figure.........:eek:

V.worried

montyrebel

you should have told them about your change of circumstances, you only have yourself to blame,however if you are bankrupt I cant see them getting that much money of you

alwaysonthego_2

It looks like they are asking you to pay the whole amount of your claims for the past 4 years. They will usually let you pay in installments, but you can try and negotiate lower payments if it puts you at risk from hardship. You are lucky you're not getting investigated for fraud!

alwaysonthego_2

montyrebel wrote: »

,however if you are bankrupt I cant see them getting that much money of you

Not true as the op will have income and HMRC debts are not written off in bankrupsy.

MUMMYTO2BOYS

Your username seems quite appropriate, you haddit and now you've haddit!

MrsE_2

They pay out 30k in benefits!!!!!!!?????

alwaysonthego_2

MUMMYTO2BOYS wrote: »

Your username seems quite appropriate, you haddit and now you've haddit!

...and your contribution to this thread is?

The op seems worried and the above comment is not appropriate nor helpful:rolleyes:

alwaysonthego_2

MrsE wrote: »

They pay out 30k in benefits!!!!!!!?????

It will be four year's worth of Tax credits including the childcare element. He will be made to pay the full amount as he had a single claim which was not valid.

haddit

Thanks Alwayson the go for your constructive comments.
Yes i appreciate I am lucky not to be prosecuted. I have made a dreadful judgment in neglecting my affairs and failing to keep them informed. However I have not set out to defraud anyone. I suppose I was just focussed on getting by, what with the business failing. My partner moving in was a little complicated as he was a house husband for 2 years and not contributing whilst I focussed on getting the business off the ground.I legitemately changed to another child care provider and the costs were the same as the previous one on Tax Credits records. I genuinely thought what difference can a name of a provider make, so never mentioned it.

If I serve as a warning to others , so be it - what I did was wrong. So as for the unhelpful posts, you really don't touch the sides with regards to your narrow minded judgements - the reality of my situation is the biggest punishment. And I shall stand up and be counted - be assured of that.

bunny999

MrsE wrote: »

They pay out 30k in benefits!!!!!!!?????

yes disgusting isn't it

catmiaow

What happened to helping childless people these days and rewarding people who work hard? That benefit amount is disgraceful at 7.5k per year, you must have been laughing at the rest of us!! GR.