Tax Credits Repayments

Catsco

My partner claimed working Tax Credits last year. I was out of work after being made redundant and claiming benefit. They are now demanding repayment stating that we earned above the stated amount which is ridiculous because in between jobseekers allowance and one temp job I doubt I earned anywhere near £5,000 last year. He tells me that when he made the claim they based their assessment on the previous year when I was employed.

He argued stating he had supplied them with the information requested and received a letter back which used the word fraud several times. This has me worried.

I didn't know he had completed the claim form I don't know what information he gave them but I do know we pay them or argue further. We have also received a bill of £137. I telephoned the Tax Office and was told we where being penalised for not completing this years Tax Credit form!!! Unbelievable!! Could I give them estimated figures then I might not have to pay this amount. I said no I couldn't give them estimated figures and would supply them with a full set of figures. Why are we being charged for not filling in the form!! And we are the ones they are using the word fraud to!!

HELP!!!:(

AnxiousMum

You are being penalised for not filling out the form because you have not followed the rules for claiming any of the tax credits.

At the end of each financial year, you need to balance the figures, by providing actual figures for the previous year. A reconciliation is then produced - and you are paid for any underpayment, or billed for any overpayment. By not doing so, you have claimed for the year, but are not prepared to back up your claim with actual figures - therefore, they are asking for it all back I assume? They will also ask for any payments made between April and September that would've been based on the latest information they had on file.

Considering that the government is giving money to those who supposedly need it, there has to be some paper trail to ensure that those who are receiving it are indeed entitled to it - hence the reason for the reconciliation at the end of the year.

AnxiousMum

oh, you say that the word 'fraud' is used in their correspondence - you also say that your partner filled out the paperwork without your knowledge. Was it a joint claim? If so, did he forge your signature on it? Even if applied by phone, you get sent forms addressed to you, to sign and return. Did he do that without your knowledge? If so, then yes, that is fraud.

Catsco

Thanks for responding. We are being billed for overpayment. My partner insists that he has given them everything they have asked for and as they approved the payment he is digging his heels in and as far as he is concerned this is their fault.

I understand the need for the paperwork, I was for a short period self employed and have to submit a Tax Return for this year. So they will get proper accounts signed off by an accounting firm. However the HMRC are not above making mistakes and trying to cover their tracks just this morning I received a demand for NI contributions. I haven't been self employed for a long time. They where informed by phone and letter and yet when I called this morning they did not have this on my records. Just to add the letter was a complaint because they kept sending me a demand for NI that had been paid through my account. Three times I sent them the same proof of payment. They sent me a letter addressed, not to my address which came to me opened via a third party. This letter contained my name, date of birth, bank account number, address and sort code. Appalling. And to top that I received no response to my complaint.

Catsco

He claimed by phone. And yes I didn't know until I had a day off and got a letter telling us the amount was being reduced. It had come as a surprise to me, I had suggested he try claiming and was met with the response that we wouldn't be entitled to anything!! Now here I am trying to sort it all out. I am not a fraud I work hard and do everything I should. I got offered a job three months ago and got told last week they could not afford to keep me past November so I will be out of work again and just to top that I am sitting here with a bill for nearly £1,000 that's my share. So yes he did commit fraud but against me he insist he has not tried to defraud the HMRC

zagfles

Partners have to claim jointly.

You have to do the renewal by end of July, and you have to give them last year's income details, or an estimate if final figures not yet available (you can then give them final figures by Jan 31 at the same time as the self assessment deadline)

That's what you have to do if you claim tax credits. If you don't, they'll want the money back.

Catsco

Thank you for responding.


The "fine" of £137 pounds does that apply to those who think they no longer need to make a claim. Is this a statutory fine for the Tax office sending out the paperwork?

The self assessment is at the end of October if you file by paper and the end of Jan 2012 if you file online. Those are the dates I was given.

zagfles

Catsco wrote: »

Thank you for responding.


The "fine" of £137 pounds does that apply to those who think they no longer need to make a claim. Is this a statutory fine for the Tax office sending out the paperwork?

The self assessment is at the end of October if you file by paper and the end of Jan 2012 if you file online. Those are the dates I was given.

That's income tax. The tax credits deadline is end July (but as I said you can give them an estimate if SA not yet done).

multiflorum

Hi

I'm currently in dispute with HMRC over an alleged overpayment where they are claiming I didn't give them a change of circumstances on time.

I've filled in a Subject Access Request form online which forces them to supply me within 40 days any info they hold including correspondance,, notes they have made about my claim plus recordings of any calls made to them. Might be worth you considering