Housing Benefit Underpayment

BaldEagle

Fluffy - Surely if it's based on current income, then would I not count for a DHP? My current income is c.£200pm less than it was. This wasn't a gradual decline, it was as a result of the cutbacks that kicked in this tax year. As I say, the vast majority of my SE work was through govt bodies, public sector organisations and such like.

In your experience, what is the best way to approach my face-2-face tomorrow?

Careful_with_that_Axe

Just a quick thought - could you apply for a Discretionary Housing Payment in the meantime? I understand they process those fairly quickly and it buy you some breathing space.

fluffymovie

Sorry I meant if the claim hasn't been amended, they'd wait for that before a DHP as DHPs aren't recoverable and if you would qualify for more LHA, they'd give you that first.

I would simply explain the situation and if you aren't getting anywhere, ask to see a supervisor.

BaldEagle

Unbelievable. Got a letter this morning saying the LA had assessed my claim.

Did they take my 50% loss of SE earnings into account? No.
Did they take into account a drop in my WTC? No.
Did they reduce my LHA because of a change in PAYE code? You betcha.

I don't disagree that the increase in PAYE should be reflected in my LHA but so should the drop in SE earnings! Instead I'm being asked to supply P&L accounts for 09/10 and 10/11 tax years. They already have 09/10 along with invoices and receipts as proof. The 10/11 P&L is almost identical to the previous year. What I've told them is that the drop kicked in THIS tax year because of the Govt cuts.

It's maddening. :mad:

BaldEagle

They have been reviewing my claim for two months. In that time I have provided them everything they needed promptly and in greater depth than they requested. I have also explained on numerous occasions that my SE earnings have dropped for this tax year and have provided them proof.

This morning I received their latest calculations. Not only have they completely disregarded the drop in my SE earnings, they are using a figure in excess of my 10/11 income. It bears no resemblance to what I was earning last year nor, more importantly, what I am currently earning.

By my calculations, it's £50 per week more than my actual income.

I'm going to have to go to see them again on Monday and get an explanation as to how they have arrived at this figure and, going on past experience, will probably have to go down the appeal route.

Does anyone know how long the appeal process takes?

I cannot understand how being self employed can cause them so many problems. Surely I'm not the only person in the borough who has a combination of PAYE and SE earnings. Why is it that every time I report a drop in my SE earnings I have to jump through hoops and yet when my PAYE earnings increase, they drop my LHA immediately?

It's getting to the point where I'm thinking of jacking in my self employed business and relying on hand outs. What's the point in trying to better myself and get myself off benefits when every time I have to fight with them?

BaldEagle

BaldEagle wrote: »

Does anyone know how long the appeal process takes?

:: bump ::

Macro_3

How long is a piece of string? You could get a response within days if appeals have all of the info they require to consider your appeal, if decision is straightforward and workloads are low. Equally, if they need further info, if workloads are high and if decision does not go in your favour and you wish to take it to tribunal it could be months and months. It's a question you would be better off asking the LA itself.

kennethw_2

is there anywhere where one can find out HB rules? I joined this forum, because I have had to move into private rented accomodation (I was prevoiusly living "illegally" on a farm). there are two issiues

1. Because of my "failure" to produce my accounts, despite replying promptly to all correspondence - and taking requested documentation to the council offices on no less than 5 occasions - they are refusing to pay any benifit for the first 10 weeks of my claim, this also pushes the date after 1st April 2011, so the capped rule kicks in

2. They have gone through my accounts and are not allowing £2,700 of motoring expenses - fuel expenditure. Can anyone tell me how to run a full time gardening/handyman business involving the use of petrol driven power tools for which I am obliged to transport to and from site as well as dispose of waste produced, using my own fuel on £20 a week? I have appealed against this and the appeal has been disregarded

I have to pay 6 months rent next month - £3,300, and think the most likely outcome of not paying this punctually will be that when my tenancy expires next year, the landlord will simply choose not to renew it and request that I vacate the premises at the end of the period.

At the moment much funding of my rent has come by drawing on my pension funds - it is a bit thick to be warned by the CAB regarding my criminal offence of deprivation of assets when one has to pay £4125 rent + deposit to keep a roof over my head and wait nearly 3 months to receive half my weekly rent and £2.50 a week towards my council tax bill.

Advice on how to find out the rules for applying HB regarding self employed accounts appreciated as advised that this should be my course of action, hopefully to find grounds to challenge the council regarding their decision.

kennethw_2

BaldEagle wrote: »

They have been reviewing my claim for two months. In that time I have provided them everything they needed promptly and in greater depth than they requested. I have also explained on numerous occasions that my SE earnings have dropped for this tax year and have provided them proof.

This morning I received their latest calculations. Not only have they completely disregarded the drop in my SE earnings, they are using a figure in excess of my 10/11 income. It bears no resemblance to what I was earning last year nor, more importantly, what I am currently earning.

By my calculations, it's £50 per week more than my actual income.

I'm going to have to go to see them again on Monday and get an explanation as to how they have arrived at this figure and, going on past experience, will probably have to go down the appeal route.

Does anyone know how long the appeal process takes?

I cannot understand how being self employed can cause them so many problems. Surely I'm not the only person in the borough who has a combination of PAYE and SE earnings. Why is it that every time I report a drop in my SE earnings I have to jump through hoops and yet when my PAYE earnings increase, they drop my LHA immediately?

It's getting to the point where I'm thinking of jacking in my self employed business and relying on hand outs. What's the point in trying to better myself and get myself off benefits when every time I have to fight with them?

Fully agree. I've spent 10 years bulding up my business, like you have a shortfall of £50 a week in housing costs, beginning to feel why bother to work. Ridiculous that the IR and Tax Credits have no issue with my accounts, but the LA appears to be able to write its own rules as it pleases. I think it may be explained by HB coming directly from the council so staff are awarded negative brownie points when they have to pay out on a claim

BaldEagle

The latest figures dropped through my letterbox this morning. Funny how they always post things so they arrive on a Saturday when you can't call them up. Sure it's just a coincidence...

Anyway, they have disallowed my home office expenses saying that it needs to be added as income. Quite how they arrive at that decision is beyond me. The home office expenses are the percentage use of my gas, electric and insurance based on using one of my rooms as a home office. I've not claimed percentage of rent or council tax as that would obviously be disallowed.

They've then reduced a number of my business expenses because of personal use. Fair one. However I've already done that in line with HMRC guidelines and explained it to them on numerous occasions.

Just to top it all off, they're refusing to acknowledge that my business has dropped off for this year despite me breaking down income and expenses since January. They are insisting on using the 10/11 tax year figures, a year which was skewed by one large contract at the very beginning of the tax year.

Oh, and nearly forgot, they've used the wrong figure for one of my expenses, preferring to use a lesser amount from the 09/10 tax year.

So I shall now be spending my bank holiday weekend fuming at their complete and utter incompetence as well as seriously questioning why I should even bother to try to better myself. I'd be better off jacking in my self employment and turning to them with my begging bowl.

And people wonder why so many people cheat the system?