advice on ending child tax credit claim

moomoomama27

I am just wondering.

I finally managed to speak to an advisor about ending my claim (My hours have gone up, this means that I will no longer be eligble for any CTC from next week. However they told me if I end my claim I will have to pay back all the tax credits from April and half of May unless I keep the claim running until the end of the finacial year - almost another year.

They worked out my enrirlement to be 0 based on new hours starting the end of May but I was entitled to tax credits for the first 8 weeks of the year and now I will have to pay it all back if I accept the increased hours?

Is this correct?

moomoomama27

Thanks for that.

I guess I'll have to rearrange to set up a payment plan to pay back the money if that's how it's worked out.

Newly_retired

Might be better to do that now than for a higher amount to repay at the end of the year.
But you are obliged to inform HMRC of change of circumstances within one month anyway.

bylromarha

Good luck - the best I got was "we're going to keep paying you, even though you don't want the money we're giving you adding to your debt to us."

I ended up putting their payments in the highest interest account I could find with instant access, putting their payments straight into that account, and paying them back when their demand for payment came through.

Stupidly, it earned me a few quid in interest, even though I asked for them to stop paying me.

moomoomama27

Well I withdrew my claim, and ended up with a a bill of a few hundred, and what a palapa!!!

apparently I have to wait for them to contact me before I can negotiate how to pay back, no doubt they'll expect a lump sum, not spread over 52 weeks like they try to do if they owe you!!!

However I was concerned that the operator was very reluctant to end my claim, despite the fact I am definitely, nor won't be based on my new income, likely to ever claim tax credits.
He advised that I should keep the claim going until April,and then withdraw it on April 4th 2016. I thought surely that's fraud as I know I'm not entitled. And he was trying to convince me to just update my income!!!
He didn't seem to understand it, and to,d me he had no training on ending a claim, and throughout the call it was another colleague relaying to him what to do, so I guess I do need to be extra vigilant that this claim ends ASAP!