Abit confused on overpayment

paye

Me and the wife get a childcare element of working tax credit, this was based on a estimated joint annual income of £40k, having added up the total gross figures on both of our P60 we actually earn t between us just over £44k for the period from 2011-2012.

our weekly childcare cost is £190 pw, we get £217 a month towards the nursery fees. Question is I under estimated my income by £4k would I be made to pay back any overpayments?

Secondly when confirming your total earning to HMRC, do you have to take into account the car allowance and mileage payments taking these total amounts away from the total gross earnings on the p60.

any help on this will be much appreciated.

Thanks in Adv :beer:


why can't they make this simpler, i tried calling HMRC on a few occasions today and couldn't get through, i wounder why you can't renew online.

princessdon

paye wrote: »

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our weekly childcare cost is £190 pw, we get £217 a month towards the nursery fees. Question is I under estimated my income by £4k would I be made to pay back any overpayments?

erm - yes, you have been paid £4k more in childcare fees than owed why don't you think you owe this?

paye

I am just confused by the whole thing, if i've been overpaid I'll pay it back no problems there.i Haven't been paid £4k more I think it will be less than that,unless you meant they based my inital assesment on the £40k as apposed to £44k.

Does this 'income disregard' come into the equation where I gave them un estimated figure of my earnings.

Just baffled by the whole thing.

Caz3121

the disregard is when they used the previous years income to calculate. If you contacted them and said "I don't want you to use last years income, I want you to use this number instead"...and gave them £40k to use then you will have an overpayment (If your previous years income was £40k and they based it on that and you ended up with £44k then there would be no overpayment)

princessdon

Sorry I misread your original post as you were overpaid in childcare - that was my error and I apologise for reading it incorrectly.