Help, tax credit overpayment

carkeyz

Hi all
I have compelted my renewal and advised of a change in circumstances.
I got my reward notice through today saying that our tax credits were going up but we also owed them over 900 quid|!

I dont know how cause all the information I have given them is the same!

Also now we are earning less they want us to pay more!

Help what do i do?

x

DaiJoA

The only thing you can do is ring them up and question why this has happened, write down the reasons that they give you and then request an overpayment form (its called something official but that will do!) and they will send you out a pack and a form that you have to fill in stating your reasons why you do not agree with the overpayment. I think you can also request that the overpayment be spread out further so that you have a bit more money from your payment each month. Just give them a ring (after 7 so its cheaper) and ask the exact reasons why, and remember to write down everything they say.

AnxiousMum

Has the overpayment occurred in payments that you have received AFTER April 6th this year? Those payments, as you know, are based on the information held before you renewed your claim - so this may very well be where your overpayment has occurred?

sinstar

You may have built up an overpayment between 06-04-10 and when your renewal was completed if the estimated 09-10 income they held was lower than the 09-10 actual income you have now provided. Find out if this is what caused the overpayment.

Make sure they have an up to date income estimate for 10-11 - if the system doesn't know you expect to earn less this year, the award will be being based on what you earned last year.

If they DO have an estimate of your new lower income, and the overpayment recovery is still causing you financial hardship, you can ask for your payments to be adjusted to put off recovery of the overpayment/recover less from your regular payments (ie. take longer to repay it from your entitlement).

If the overpayment wasn't caused by income find out what has caused it and then I could maybe give more specific advice.

Don't rush into disputing the overpayment the first thing you should do is get someone to explain to you exactly what caused it, if they can't see what has caused it ask to speak to someone else.