Tax Credits - your experience?

jen_jen_2

Hi i am doing some research for work, i work for an independent charity and and trying to provide services to assist people to maximise their income. I wondered if anyone would mind telling me their experiences and feelings towards tax credits. i am trying to ensure that in the area i work i can provide a service to those people who currently are not getting the information they need to get entitlements. Has anyone not claimed or delayed in claiming their tax credits because they have found it too complicated or off putting? If you have experienced this what helped you to decide to make the claim, was it advice and support from an advice agency, inland revenue, here or somewhere else? Has anyone delayed in claiming because they wern't aware of the existence of the benefit? How did you find out about it? and where would be good places to get more information, schools, nurseries or GP's?I would value your experiences and what kind of thing would have worked for you. Thanks in advance (i still dont have the thanks button working despite clearing my cookies).

Gaz83

I used to work for the Inland Revenue, and I'll tell you the number one reason that Tax Credits are as big a shambles as they are.

In July 2002, the first trenche of Tax Credits staff were hired (myself included).

In August and September 2002, the television and radio adverts began, along with adverts in the old WFTC helpline, Jobcentres, DWP Offices, Tax Offices etc., saying to people to phone up for an application pack and "get your application in my January 31st for guaranteed payment by April 2003".

This was to allow for plenty time for bug testing, iron out any problems with the system, correct any errors with the application process over two months before claims were due to go into payment.

This is part and parcel of ANY IT system, as anyone who works with computers will know, as this was a new system designed to deal with an estimated 6m claims in its first year.

Approximately (and these are official figures made available to staff while I worked there) 2.36% of applications were put in before the 31st January.

93.24% of applications were put in in the final two weeks of March, only a week before payments were due to begin.

It was only then that it was discovered errors with the computer systems simply due to the fact that so many applications were going in at once. However, since payments were due to start in April, the IR and EDS (the company who built the computer system) had NO time to iron out any of the errors that are still plaguing the system these days.

That is why they're such a shambles.

grahamliza4

I have a friend who stopped bothering to claim as one year they massively overpaid her. She ended up with the last years overpayment cancelling out present year award almost. She actually set up separate bank accy for while to get it paid in and if they overpaid it'd be there to take back BUT they kept making massive overpayments and refusing to take the £ back! So she ended up halfway thru one year £xx in this account that she shouldn't have had, and the TC people instead of taking it back, they say she has to wait until next year to make a new claim so they can reduce her payments for that year to recoup what they overpaid her!!!!!!!!

Now she doesnt bother to claim as they always get it wrong. Accidentaly paid us £700 once out of the blue then reduced our payments to £40 per month for few months to make up for it. :rotfl:

creamtea_2

http://www.taxcreditoverpayment.pwp.blueyonder.co.uk/2.html

quidsin

creamtea wrote: »

http://www.taxcreditoverpayment.pwp.blueyonder.co.uk/2.html

I think the tax credits is badly organised too!!! I also think you have to sit down in a sound proof room to digest all the pages you get telling you how much you're getting ( or not getting)
We passed our details to the IR and we received payments, then this year they decided to drop our joint income to around £5000 / year and DW who gets the payments was quids in, getting payments of £400-500. Luckily DW saved the overpayments. We told the IR of they earnings mistake and now we get £3.10 / week.

What a !!!!-eyed way of doing thinks :mad:

Gaz83

Georgie_Porgy wrote: »

Well I suppose we can be grateful that HMRC recognised the failings in EDS and they are no longer responsible for their computer systems.

I often wonder how it would have been had the great British public actually bothered to do anything about it until the last couple of weeks of March. We were still getting people phoning us in April saying "My Working Families' Tax Credit is due to stop next week, what do I do?"!

If most people did have their claims in by January, and EDS had enough time to sort out the errors that are still crippling the system, would people see TCs as a farce?

No-one will know.

kelloggs36

So why can't the CSA do the same thing? EDS are a huge joke who don't know how to build a system fit for purpose!!!! Plus the Ministers are at fault for allowing these systems to be used before sorting out all the problems.

Gaz83

kelloggs36 wrote: »

So why can't the CSA do the same thing? EDS are a huge joke who don't know how to build a system fit for purpose!!!! Plus the Ministers are at fault for allowing these systems to be used before sorting out all the problems.

Whilst I agree with you to an extent, I must take issue with your second point.

What on Earth do you think would have happened if, in the first week in April, the IR and responsible ministers said "sorry, we're not going to put any claims into payment as now we've discovered these errors for the first time and want to sort them out."?