Tax Credits Compliance - why bank statements?

FrazzledMumof4

Oh and they do a credit check on your house, I lived in private rented but the search came up with about 8 or nine names, she kept asking me about them so in the end I told her to contact the letting agents who would confirm the names of these people were previous tenants .... stress!!

5823yil

Do they have to ask permission to do credit checks?

FrazzledMumof4

No, they do a check on the property not the person, Compliance Officers are also Fraud Investigators so they can do this. That's what I was told by Tax Credits anyway.

FIASCO_2

For the childcare review they are willing to accept a letter from the childcare provider showing the tax year you are being questioned about - whether they child(ren) attended the entire year or part of the year, the names of the children and how much you paid. They do not have to have contracts and invoices....and certainly not your bank account statements. I would not send my bank account statements to them, you may never get them back.
Ring the tel no on the letter and check what they really need...and then ring again and ask the same question...there is a strong possibility you may not be told the same answer by each advisor.
Good luck. PS the purpose of the review is to ensure you pay the money tc give you to your childcare provider, many people claim and keep the money having made up the childcare provider.

silver_mountain

ella_minnow wrote: »

Hi all,

I've received a tax credits compliance letter asking for childcare contracts and receipts (don't have those but sure I can get them from my very expensive childcare provider!).

The bit that's got me is the requirement for bank statements going back over a year! Does anyone know exactly why these are required?? I don't mind them seeing evidence of my wages, but I consider the rest of the information in my bank statements really personal.

Maybe this is silly, but I wonder if they can see I've been able to afford to go on holiday last year (first in 3 years), save a bit of money (as is wise), and go out to dinner probably a few more times than Martin considers wise, will they say I don't need tax credits!!??

Also, I have £70 per week maintenance from my ex partner which I don't think I have to declare but I feel like my entire life will be completely scrutinised! Can I block out personal outgoings I don't want them to see (sufficient to leave the amount, but not what it was for..nothing juicy, I just really don't like the idea of someone seeing everything I spend and what on!)

Finally - can they really insist on a year? I might not have every one - what can they do about that? Surely 3 months would be adequate?

Advice, feedback appreciated...

Ella

hi...can i ask have you renewed your tax credits for this year?

TaxCreditHelp

The process described by "FrazzledMumof4" is not the same process being carried out by the childcare information request you received. The current childcare enquiry is purely looking to verify that the childcare costs being claimed match that being charged by the childcare provider.

Tax Credit Office do have the power to carry out a full compliance check on any case which follows an unusual pattern or with apparent suspicious activity. This includes carrying out a credit check, checking the electoral roll, and comparing information declared with that held on the national PAYE and self-employment systems.