Appealing tax credits

karenx

Hoping to get some help please
I'm self employed and when I renewed I got my earnings figure of my accountant
I renewed and everything was fine, however my first payment in new tax year was minus my working tax credits
Called up and was told a random check was done on me and as my income figure didn't match my tax return figure (as I hadn't completed it) my WTC has been stopped
I explained as I'm self employed I have untill January to fill it out. The guy said it was still a random check and my figures don't match. So I asked what happens now and he said complete tax return then appeal. I asked how long an appeal will take and he said "just as long as it takes" so wasn't really helpful!!
Along with not understanding I have untill January to do a tax return so why was mine stopped with no notice! And all he could say was "just a random check"
So I had to get my accountant to do my tax return ASAP but I couldn't find my UTR number so had to wait 6 weeks on my letter coming out with it.
My appeal has now been sent in along with a copy of my tax return.
Roughly how long do these appeals usually take? As mine seems pretty straightforward with just checking the figures match.
Also he said I will get it backdated, that's been 10 weeks on wednesday. Do they not usually only backdate 3 months? If not update fully can I appeal? Very unfair my WTC was stopped with no warning, do they not realise not every self employed person will of handed their tax return in straight away
Thanks in advance for any help!

davehughes182

If they are saying your figures dont match the Tax Return then you have already completed your tax return no? They cant check against a tax return that hasnt been done so you or your accountant must have submitted the return.
As for the appeal process it can take 20 weeks and if you are correct and your WTC should not have been stopped you will get it all backdated so any money you have missed out on will be paid to you.

HTH

lovinituk

Sounds like you submitted your tax credit as your final figures. You should have submitted them as estimated earnings and then you have longer to provide the final figure once you have completed your tax return.

FRESTER

Yep
That's what went wrong.
You gave them actual figures before submitting your tax return.
If you told them it was an estimate there wouldn't have been a problem.

Icequeen99

FRESTER wrote: »

Yep
That's what went wrong.
You gave them actual figures before submitting your tax return.
If you told them it was an estimate there wouldn't have been a problem.

That's very true. But equally what have HMRC one the check against?

They did these checks against PAYE income for those who are employed which is fair enough, but what figure did they check against for the OP?

They are saying it doesn't match the tax return - what tax return as there isn't one.

You are right though this may have been avoided if she had estimated.

IQ

lovinituk

Icequeen99 wrote: »

They are saying it doesn't match the tax return - what tax return as there isn't one.

Exactly. There is no tax return so there are no figures for the final tax credit figures to check against. Had they submitted estimate figures, the tax credit check would not have taken place.

karenx

Sorry I miss worded things - meant checked against tax return but doesn't match as there was no tax return. And no my accountant couldn't of done it by mistake as he didn't have my UTR number as previously said I had to wait on a letter
I did tell them when I renewed I hadn't submitted a tax return this is the figure my accountant told me.
So I'm really annoyed this check has been done and my WTC has been stopped. I'm a single parent of 2 and I'm £105 a week down and have been for 11 weeks now.
Is there any way to speed the appeal up?? Thanks

FRESTER

karenx wrote: »

Sorry I miss worded things - meant checked against tax return but doesn't match as there was no tax return. And no my accountant couldn't of done it by mistake as he didn't have my UTR number as previously said I had to wait on a letter
I did tell them when I renewed I hadn't submitted a tax return this is the figure my accountant told me.
So I'm really annoyed this check has been done and my WTC has been stopped. I'm a single parent of 2 and I'm £105 a week down and have been for 11 weeks now.
Is there any way to speed the appeal up?? Thanks

The only way I can think of to speed up the appeal is write to your MP.
I did once years ago and it was sorted very fast after he contacted them.

pysia12

Need some advice please...
I have applied for tax credits this year and received a letter that they checked my income and it is actually higher than I stated. This has affected my payments. What they have not taken into account is that I deducted £3000 from my income due to the fact that I was on SMP for 30 weeks last year, which I am allowed to do. So I have been told that I need to appeal and it may take 5 up to months? What I do not understand is why I was not contacted before the decision has been made as the form clearly states I can deduct SMP?

Icequeen99

pysia12 wrote: »

Need some advice please...
I have applied for tax credits this year and received a letter that they checked my income and it is actually higher than I stated. This has affected my payments. What they have not taken into account is that I deducted £3000 from my income due to the fact that I was on SMP for 30 weeks last year, which I am allowed to do. So I have been told that I need to appeal and it may take 5 up to months? What I do not understand is why I was not contacted before the decision has been made as the form clearly states I can deduct SMP?

The only way to sort this is to appeal.

However, normally they write to you saying there is a discrepancy and asking if there is a reason. I would send a complaint in if this didn't happen.

IQ

olgadapolga

pysia12 wrote: »

Need some advice please...
I have applied for tax credits this year and received a letter that they checked my income and it is actually higher than I stated. This has affected my payments. What they have not taken into account is that I deducted £3000 from my income due to the fact that I was on SMP for 30 weeks last year, which I am allowed to do. So I have been told that I need to appeal and it may take 5 up to months? What I do not understand is why I was not contacted before the decision has been made as the form clearly states I can deduct SMP?

Exactly the same thing has happened to me, first that I knew of it was an amended final award letter for 2012/13. When I rang them to find out what was going on, they said that I had to write in disputing the figures that they had used and that there was no time scale for sorting it out! They didn't mention the word "appeal" - should I have made a formal appeal? I have sent in a letter stating why there is a discrepancy between my employment income and the figures I gave (due to SMP, professional fees plus other legitimate and provable deductions) and giving evidence of these deductions.

I was upset because I felt that they should have written to me asking why there was a discrepancy in the figures rather than just altering my award - I now have an overpayment which is reducing my current payments. They have used a figure for my income that doesn't even match my employment income and have ignored the fact that I have to send in a tax return annually anyway (to claim work-related expenses); they haven't checked against my tax return, that's for sure.

Should I write in again and formally appeal? And a letter of complaint because they didn't write to me first?