Cannot claim tax rebate until April is this correct?

stressed81

I found out last August through hmrc that I was due a rebate due to the fact that I had been on the wrong tax code for the last 3 years. Unfortunately at the end of September I lost my job and went on to job seekers allowance.
I have been chasing this tax rebate now for months and been fobbed off with excuses such as backlogs in the system etc. finally I went into the tax office where I have been told that because I am job seekers they will be holding onto my tax rebate until April where they may deduct any money owed.

Does anyone know if this is correct? it seems a little unfair to me that they are holding on to money that they have admitted I had overpaid .

System

If you overpaid tax, due to incorrect tax codes, in years prior to the current tax year then I don't see how they can hold onto those refunds. However it is correct that you have to wait until the end of this tax year to have it assessed since you are claiming benefits

MrsManda

If you've overpaid tax in 2010/11 then you'll have to wait until April as your benefits are taxable.
However I think you should be able to reclaim tax from previous tax years.
Have you written to the HMRC with all the relevant details?
http://www.hmrc.gov.uk/incometax/overpaid-thro-job.htm#3