CT Overpayment Deferment?

SIRENS

Hi
I have had an overpayment of Child Tax Credit Payment (due to underestimating my income)

I quite understand owing money and that I need to repay it, however dh was made redundant last year and we are struggling (I work)

Have asked them if they can reduce or defer the collection of the overpayment until dh has found work but they have said no.

Am wondering if I can appeal this and what the likely hood of them agreeing is?

Have reduced outgoings as much as possible and switched mortgage to interest only for time being but am still £160 per month short of meeting all the bills.

We get tax credit and child benefit.

Any advice greatly appreciated.

andyandflo

SIRENS wrote: »

Hi
I have had an overpayment of Child Tax Credit Payment (due to underestimating my income)

I quite understand owing money and that I need to repay it, however dh was made redundant last year and we are struggling (I work)

Have asked them if they can reduce or defer the collection of the overpayment until dh has found work but they have said no.

Am wondering if I can appeal this and what the likely hood of them agreeing is?

Have reduced outgoings as much as possible and switched mortgage to interest only for time being but am still £160 per month short of meeting all the bills.

We get tax credit and child benefit.

Any advice greatly appreciated.

I have every sympathy with your plight and the circumstances that you find yourself in, but to be honest from what you have said, you have 'enjoyed' money that was not yours by right. It actually belongs to the taxpaying public. All they are asking is that you hand it back. If the Government delayed making payments to you, no doubt you would be on the telephone complaining - demanding your entitlement.

I whole heartedly agree with the proposals that for CTC & WTC the Government hold back money in reserve in the anticipation each year for circumstances just like these. Last year I like a lot of claimants were underpaid and when the actual figures are known HMRC pay over what the balance is. In my case they held back 20% (£1200) of my WTC to cover such a situation. I know they will give it to me this year when the actual figures go in. Surely it is better not to owe than to owe??

SIRENS

Thanks for your reply, to be clear the overpayment happened because I underestimated my salary, I get a small bonus which is performance related so very hard to estimate, I rang tc as soon as I got my p60 to let them know.

My husband and are have been member of ' taxpaying public' since leaving school and have never been in receipt of any benefit apart from Child Benefit. We have never been out of work before and his redundancy has hit us hard.

It was a genuine error and I am struggling to cope, I am not asking to have the overpayment wiped out only to have a little more time to repay it.

paulofessex

Jut wondering if the CAB can assist you in advocating on your behalf with tax credits with regard to reducing the payment level for a period of time. Also if you haven't already they may assist you in establishing which of the outgoing you have are priority and which ones you could perhaps pay less or a period of time. Have you checked your not entitled to any other benefits also.

SIRENS

Hi

thanks for your reply, I think I will try to pop into cab next week as I think there is one near my work.

As far as I know we are we are not intitled to anything else as I work.

Dh did get contribution based jsa, but this is now finished. We cannot apply for wct, or housing benefit again because of my hours and we own our property (mortgaged)

I guess I give the appeal a shot, nothing to loose!

Thanks again