over estimated tax creds

kaitlinsmummy

Hi
We have never had a extra payment around renewal time so was abit suprised to see it in the bank on friday had them through out the year when details have been changed like when we reduced our childcare amount due to our daughter getting the 15hrs a week funding and when I rang them to re estimate my income for 09/10 but thats about it,
looking at the credits thresh holds on direct.gov over £6420 they deduct 39% so we were £4000 over estimated on OHs income so that should be £4000 x 39 =£1560 underpaid, that does seem alot to be underpaid! or am I working it out wrong? I thought it was about an £800 underpayment at first so not sure if ive made a mistake somewhere

We had loads of trouble with our old landlord we ended up moving because of it and had to fight to get our deposit back they avoided phone calls and recorded delivery letters we had to get a solictior involved in the end. Hope you get it sorted soon

mossy

Firstly staceydaisy sorry we appear to have kind of taken over your post lol.

Secondly kaitlinsmummy, I've just phoned the tax credit peeps (whom I now love by the way...she was very patient with me as I sort of triple checked I understood what she'd said). Anyway, we underclaimed by £5k which I know sounds crazy but as we're both freelance we just didn't get in as much work as we had thought we would and I always prefer to tell them we'll earn more than we think rather than less so we don't get overpaid. We are getting a lump sump payment which will be hitting our bank account on Wednesday for £1400ish so you don't sound too far off based on what we've received. I can't believe it!! :j

They were also able to tell me this years figures and the wtc are almost double last years. That's to do with using 2009-10 income figures for working out 2010-11 figures even though I've given them an estimate for this year. Not sure how I feel about that entirely, although it has worked in our favour this year and probably will the following as well. Not so great for people earning a lot last year and then earning much less this year I would have thought...unless they have something in place for that, but anyway there we go.

I thought the payments were too high and was worried we were going to be overpaid but she explained the £25k disregard thingy which I'd seen on here but didn't look at it, because I wasn't sure what it was. So we should be okay, although £25k does seem really high, surely people would figure out by the end of the tax year if they had earn't that much more than expected (says she who didn't know she'd earnt £5k less until she'd done her tax return...although we're using a accounts package for this year so I can check it instantly from now on).

Anyway, you told them your figures on Tuesday, I told them mine on the Thursday, so I expect that if you phone them they'd be able to tell you the amounts over the phone.

Oh and we got a letter from our landlord, she's just deducting two things which I don't have a problem with, but she's waiting for a breakdown of the costs for cleaning the garden slabs before she can return the rest of the deposit....hopefully we'll have it back by the middle of next week.

kaitlinsmummy

Great news Mossy, I have also rang them today,

Yes we do have an underpayment showing on our account of £1200ish (cant remember the exact figure) but in till they have OHs 09/10 Self Employed figures they wont release it so am now on at OH to get his bum in to gear and do it. The lovely and very helpful woman on the phone said as soon as we have the figure to ring them and they will process it for us, she explained it is been held so we dont end up having an overpayment in this award, anyway so it is there. Our weekly payments have gone up by £27 a week.
She gave me the next 3 payment amounts one is another one offer tomorrow of £170 then the next 2 are back to the normal weekly payments with the 1st being slightly higher then the next being the normal payments for the rest of the award. The one on friday and tomorrow are something to do with allowances changing so good all round then

So glad you have got it sorted with your landlord and your getting your deposit back

HamsterWheel_3

Hi there

sorry to pop in but it seems i may get some info from you guys if you wouldnt mind,

Last year i earnt a measley 10k between being employed. self employed and benefits which the latter totalled about £300,

When you go on jsa you get child tax credits and not working ones obviously

I have recently finished a work contract and on JSA now and get ctc of £55 a week

I have received my tax renewal form and put in my earnings of £10k which were exact and not estimated and i THINK they had based my last years on about 15k.

So even tho i am not working at the mo do you think, and feel free to guess lol, i am due a payment from them?

thanks in advance x

mossy

Hi Hamsterwheel, so you're saying that in 2009-10 you earn't exactly £10k?

Two questions:

1. How much did you earn in 2008-09?
2. Can you remember (or find your tax credit award) to show what you said you thought you would earn for 2009-10?

Your 2009-10 award would have been based on what you earn't in 2008-09. So say if you earn't £15k in that year, then they would have based your award for 2009-10 on that figure in which case you may get a rebate. If however you told them you were going to earn less than that, they would have worked out your 2009-10 award based on the lower figure you advised them. (That's why I asked if you could remember or find out what you said you thought you'd earn that year).

Also, when did you get your renewals form and confirm your 2009-10 figures. If it was going on a week ago then you could try phoning the tax credit peeps and your figures may have gone through. If they have, they'll be able to tell you the figures over the phone, rather than having to wait for the paperwork to come through which could take a couple of weeks.

Sorry I didn't see your question earlier, I've had a bit of a heavy week, had to travel up to Lincolnshire as my Nana had a major stroke last week.

Anyway, hope you find out your figures soon.