tax rebate,should it be included in IVA?

micric

Hi All,
We are just about to start joint IVA application for my wife and myself,
my wife is due a small tax refund (around £325), for this year 2010/2011.As this tax refund is not a windfall,and will probably be claimable before IVA is set up,but maybe would receive it after,can she keep this herself or should it be included in the IVA.I would think she could put in a claim for a refund at the start of April (end of tax year),and don't expect to have creditors meeting until around late April.We have yet to send in our paperwork to our chosen IP so are still in very early stage of application.
Would appreciate any comments on this,thank you.

Charco_2

A windfall under £500 would be exempt so in fact you would actually want it to be a windfall.

However the danger is that HMRC would offset it against any debt owed to them first, then to any other govt dept that might be owed by you, then finally they will offer it to your Superviser in the IVA...

In that case that would be the best outcome because you can then tell your IP to accept the money and you will reduce it off your next repayments to your IVA because the money is yours and a windfall under £500

Clarify this with your IP before you sign your IVA, make sure you are using an IVA company that has experience with self employed cases - there are companies who specialise in that sort of thing!