Tax Credit Payment Surprise

gab1

We filled out the usual forms for tax credit earlier this year and because of a change of circumstances a couple of years ago we were no longer elegible for tax credits.

In fact we have not had any tax credits for the past 2 years but we still get the forms so we still fill them out.

The last time we never filled them out we got a letter saying we had to fill them out as our circumstances had changed.

Just writing and saying we did not want tax credits was not sufficient enough for them.

Today we get letters from tax credit office giving details of our tax credit award.

we are entitled to £0 award and any overpayments to be repaid are £0.

Thinking nothing of it, the letters get filed in the circular filing cabinet. (bin in case someone wonders :rotfl:)

Then the computer is booted up to log into our bank account as there are bills to pay.

So the balance is checked and there is too much in the account, £635 too much:eek:.
Go to the detailed statement page and what is there?

Tax credit payment of £635 paid in yesterday, (Friday) and yet the letters we got today were dated 27th August.

We will probably get letters next week asking for the money back, unless it is an underpayment from years gone by.

Anyway it is going into our ISA until they do.

So has anyone else had an unexpected payment from tax credits or are we the only ones?

generalcuster

gab1 wrote: »

We filled out the usual forms for tax credit earlier this year and because of a change of circumstances a couple of years ago we were no longer elegible for tax credits.

In fact we have not had any tax credits for the past 2 years but we still get the forms so we still fill them out.

The last time we never filled them out we got a letter saying we had to fill them out as our circumstances had changed.

Just writing and saying we did not want tax credits was not sufficient enough for them.

Today we get letters from tax credit office giving details of our tax credit award.

we are entitled to £0 award and any overpayments to be repaid are £0.

Thinking nothing of it, the letters get filed in the circular filing cabinet. (bin in case someone wonders :rotfl:)

Then the computer is booted up to log into our bank account as there are bills to pay.

So the balance is checked and there is too much in the account, £635 too much:eek:.
Go to the detailed statement page and what is there?

Tax credit payment of £635 paid in yesterday, (Friday) and yet the letters we got today were dated 27th August.

We will probably get letters next week asking for the money back, unless it is an underpayment from years gone by.

Anyway it is going into our ISA until they do.

So has anyone else had an unexpected payment from tax credits or are we the only ones?

Until they give an explanation for this (if it is an error), I agree, put it in your ISA.

If they want it back, then you can start negotiations with them how it should be repaid at £* per month.

I've never had this with TC's but with IS years ago, they paid the arrears owing for mortgage payments, twice!! An extra £3400. It was quite a present, Not only did it bring my mortgage account up to date it also settled the arrears as well. They never did ask for it back and I never offered it!

[Deleted User]

gab1 wrote: »

Today we get letters from tax credit office giving details of our tax credit award.

we are entitled to £0 award and any overpayments to be repaid are £0.

Check the letter you received that said this.

My guess is that this is for the 2009/10 year to show nothing is still to be paid to you.

Since you completed your renewal it is likely that you have either cleared off the overpayment or you have become entitled to a higher amount of tax credits.

Look out your letters, there should be one for 2009/10 (that I think you have read) & one for 2010/11 that would show your current entitlement.