Advice needed regarding incapacity benefit & tax credits

suebeloo

Hi there

I think the DWP are trying to screw me over. Following on from the post recently about Incapacity Benefit not being taxable pre April 1995 it made me wonder whether I fell into this category because to the best of my knowledge I had been receving incapcity benefit since November 1994.

I contacted DWP who have retrieved my stored records from that period and they are claiming that my incapcity benefit was disqualified from 27/06/1997 to 07/09/1997 due to a late claim (i have no idea what they are on about!). The letter also states that this period does not form a period of interuption to work and the start date of my claim for incapcity benefit began on the 08/09/1997 so therefore is taxable.

I do not recall my incapacity benefit ever being disqualified (I think I'd remember if it was!). I'd just finished a college course at the Royal National College for the Blind around that period of time and was pregnant with my first child. Im not sure if it was around that time I claimed income support as a top up with my husband, but I certainly do not recall there ever being a break in my benefit as I've always had my benefit go into my bank on a Monday. I mean, why would I re apply for incapacity benefit if I was already getting it? Just doesn't make sense.

I contacted the halifax bank to see whether it was possible to trace back bank statements to that period of time but they are saying they only hold records for 6 years.

I just don't know what to do. Im almost 99 percent sure my incapacity benefit never stopped, but I just don't know how to go about proving it.

I've just renewed my tax credits and didn't declare my incapacity benefit this time around, so obviously that's all gonna be screwed up now as according to DWP my incapacity benefit is taxable so the backpay I got from the inland revenue will have to be paid back (luckily i havent spent it!).

I just feel that something is very much amiss here and I havent got a clue on what to do next.

Any advice would be most appreciated.

Sue