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Debt recovery for Working Tax Credits

My son and his partner were awarded working tax credits based on their income, they filled in the forms and were awarded it for the whole year, however now they want it all back and despite phoning and writing for an explanation they continue to ignore requests as to why there was an overpayment.To make things worse my son and his partner have broken up, and when he phoned to ask why there was an overpayment all they told him was that he should have notified them that they were no longer a couple, he explained that they weren't claiming this tax year and had split up this tax year, they sent an appeal form which was returned but nothing was heard now they are threatening with a debt collection agency, why won't they give us an explanation?and is my son liable for all of the repayment when it was awarded on both their wages?also why award it , pay it and then say it's not due, my son did nothing wrong and his and his partners earnings were the same as the award was made on?

Comments

  • Thanks for prompt reply, to answer some of your questions, the tax year was 13/14 no claim previously as under 25, total income just under 26k jointly,they separated May 2014, she will not even speak to him since then, they had not claimed in the current year as had changed jobs, my son only found out when he had his mail forwarded from the flat they shared but have both left since the split, he phoned 7th November and a letter arrived 14th which we filled it explained they had split up etc, no reply but yet another demand for payment, appeal sent 16th December again explaining they were no longer together or in communication, 7th January yet another letter demanding immediate payment and threat of debt collection if not received asap
  • Thanks again for reply, I will find the exact amount they earned but the award was based on the figures they gave!and the earnings were exactly what they said they would be my son was an apprentice on minimum wage and his partner had just qualified as a teacher and started work in the September first year , so the mind boggles even more if they weren't due these credits why the heck were they awarded them!
    Still the priority is to get the tax man to respond, as they had both names and NI numbers on the letters does this mean that my sons ex will have received the same letter?we have all tried to contact her but she will not respond, (she was the one who left but now my son has a new girlfriend she will not speak to any of us)
    He was out of work for a short while after they split he got job seekers for two weeks then found work for a company but on a self employed basis, which is what he is still doing.
  • Thanks again, I am seeing my son at the weekend I will find out what there earnings were the year before.
  • cifpower
    cifpower Posts: 6,502 Forumite
    Ask your son if the annual declaration was returned. If not, they will ask for all the money back from that year.
  • Thanks for reply, do you mean at end of tax year by employers?As this was done and usual P46 issued, we assume that's why they suddenly decided to ask for all the money they awarded back, we just need an explanation and the previous member that replied has given me lots to find out, all I know is they were honest in what they put in the initial claim, awarded £28 per week on those figures paid directly to my son and now want every penny back, but will not explain why that and his ex not talking to him it is so frustrating!
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