Overpayment of tax credits

dogtaylorred

Myself and my husband were overpaid to the sum of £5500 in march 2004 tax credits. We advised the tax office accordingly and they said dont worry about it and we never have. We have received the usual yearly updates and thought nothing of it. We have now received a demand for the monies to be paid by mid september!

As im sure you can imagine there is no way we are in position to pay off this demand in one go.

Are we liable to pay the monies back and if so how can we go about it?

Has anyone got any help out there for us...my hubbies in a mess about the whole thing!

Duncombe

How did the overpayment occur?

dogtaylorred

We received a renewal letter and I noted that we have received a credit into our bank account. I contacted the tax office who I advised that this money had gone into our account. The person on the end of the phone had obviously heard of these errors occuring before and gave me the advice not to worry and that they would make the relevant adjustment their end and thanks for letting them know!

We heard nothing until we received advices from themn stating we not receive any further working tax credit due to the overpayment by them.

We 'presume' that this would continue to be the case until such time as the 'debt' was adsorbed by them. We now receive this bill out of the blue. Are we liable as this clearly was not an error on our behalf?!

Duncombe

Im not sure that answered my question. Are you saying that HMRC just deposited £5500 into your account for no reason?