tax credits repayment querey

zagfles

viczs123 wrote: »

thanks for your response zagfles. i only earn approx 6480 per year what will they do in that instance?

To collect the correct about they'd need to lower your code to 181L. But as I said above that will only collect the correct amount if you earn exactly £6480, if you earn more they'll collect too much and if you earn less they won't collect enough.

In your situation collecting via the tax code is a daft way of doing it. I'd phone them up and mention this to them and see if you can pay direct monthly.

viczs123

thanks zagfles and horse underwater.

it was an increase on my previous years income, and the year in question is 2010-2011
thanks for your help with this as its really causing me concern

zagfles

viczs123 wrote: »

thanks zagfles and horse underwater.

it was an increase on my previous years income, and the year in question is 2010-2011
thanks for your help with this as its really causing me concern

Doesn't make sense, can you give us more details? It's possible that an overpayment could happen in the renewal window ie April-July if your income went up previous year and you didn't tell them till renewal, but an increase of 80pm would never result in an overpayment anywhere near £933.

Icequeen99

zagfles wrote: »

To collect the correct about they'd need to lower your code to 181L. But as I said above that will only collect the correct amount if you earn exactly £6480, if you earn more they'll collect too much and if you earn less they won't collect enough.

In your situation collecting via the tax code is a daft way of doing it. I'd phone them up and mention this to them and see if you can pay direct monthly.

Recovery via PAYE code is optional. So providing you can provide an alternative means of payment then you can ring the number on the letter you got and offer to repay directly at whatever amount you can afford each month.

IQ