tax credit overpayment

barnet_lady

Hi
Last year my partner had a horrific accident which has left him unable to work. Through the benefits advice worker at the hospital, I was advised to claim for various benefits. My partner was already receiving £10 a week tax credit for his daughter. Shortly after applying for various benefits we started receiving quite a lot in tax credit payments, which they told me had been backdated to when his accident first happened. Not knowing anything about the system, I took it that this was the case, and didn't look any further into it. My partner was critically ill, I had far greater things on my plate. Long story short, they have now decided we were never entitled to the tax credit; we were overpaid as we had completed the form incorrectly, and I had advised that my partner was receiving income based job seekers and not contribution based (or it could be the other way around...it's very confusing, prior to this I've never claimed a benefit in my like... it's a minefield).

I have dug out the original paperwork, and we haven't informed them incorrectly, they have inputted into their system incorrectly. Their fault, not ours. I asked them to investigate. They concluded that we should have known that it was an error and notified them sooner.

Until they informed me of the error I had no idea I was being overpaid. What can I do now? I no longer have the money, yet they expect me to pay it back. Any advise would be great. Thanks

mrshaz

theres 1 problem and they will use it, when they sent you the entitlement letter did you read through it to make sure it was correct? because if its not correct on there then they will tell you that you should of checked it and notified them if anything was wrong, so even if they inputted the information in wrong and it is wrong on you entitlement letter then i'm sorry but they wont back down

you can explain that it was on there due to a clerical error (meaning they inputted it wrong) but i really dont think it will get you anywhere. i'm sorry that isnt the answer you were looking for but i know from experience that is how the conversation and dispute will go.

i had the same problem they overpaid £2000 when somebody entered into my claim that i was claiming for childcare when i wasnt, they had taken information from a previous claim and attached it to the new claim. where i lived and the registered childcare was a 300 mile difference (i moved between jobs)

even when i disputed it and explained the fact it was put in wrong because they had sent me the paper work stating that i was getting the childcare but i had foolishly not checked it or hadnt noticed and hadnt notified them it was wrong it then became my responsibility. as it was there in black and white!

Aesop

Hi Barnet Lady

I was overpaid tax credits due to the IR's error, they inputted the wrong figure when I told them. I noticed an amount in my account and told them straight away, told them it was wrong, and they agreed, corrected my tax credits and then made me pay it all back.

I am still paying it back.

http://www.advicenow.org.uk/advicenow-guides/problems-with-benefits/tax-credit-overpayments/i-dont-think-i-should-pay-the-money-back-what-can-i-do,10215,FP.html

I did have to appeal, and the first time they were saying no, it is not our fault, so I asked a copy of my telephone calls to them and lo and behold I could be clearly heard saying in single figures, what needed to be inputted, followed by the full amount, in thousands. It was genuinely their error.

also

http://www.taxcc.org/

Keep your points relevant. HMRC are looking to blame you because apparently you ‘should have known the award payments were wrong’. Discussing political opinions, other benefits you have or haven’t had problems with, or in-depth details of your employment or personal life will only be ignored. However if you suffered mental heath problems, loss of a loved one, major illness or other trauma around the time the overpayment occurred, do make sure to emphasise this. Most of the dispute will focus on whether you met the responsibilities outlined in COP26. (see page 3 of COP26).

http://www.taxcc.org/Dispute_1st_things_1st.html

good luck and I hope you don't have to pay it back.

barnet_lady

Thank you both. I'm going to at least try, but I think as you've pointed out, it is down to me to read the paperwork properly, and up to me to understand the differences between the two different allowances. I will make a start on my letter!