Over Payment Tax Credit

pension1904

Hi all, question for you.

It looks like we will have a overpayment, which will nil my wtc, however, can the Tax credit people take the balanace of my wifes CTC, and if so, how much can they take.
We did have a income of 9600, but a staff bonus and pension repayment brought that up to 15,400. Will I be allowed the disregard, or will they nil the wifes claim as well, until the overpayment is cleared.
Many thanks

themonkeybutler

1 - Yes they can reduce your CTC to repay your WTC overpayment to 100% depending on your circumstances, but more likely it will be 10-25%.
2 - The disregard depends on several aspects of your income past and present - if you have an overpayment, then you didnt meet the criteria for the disregard. 9 times out of 10 though, on the figures you quoted, you should have done.