Have to pay back tax credits because we didn't renew?

KaratePigeon

Sorry, I'm sure this gets asked a lot but I searched and couldn't find anything similar.


We were receiving tax credits last year, after I'd been made redundant and took a while to find a new job.


I've since got a new job so assumed we don't qualify any more. Didn't fill in the renewal form (no excuses really, I did try online but couldn't use my passport as it was out of date, DP said he'd try but we just didn't get around to it. Also I really really hate the tax credit system so was hoping they would just stop if we didn't renew.)


Now they've sent us a letter saying we need to pay back £350 we can't afford this, although I'm working again now our outgoings mean we are only just managing to pay for everything as it is. We genuinely did need the money at the time so is this just like a fine for not filling in the form? Is there anything I can do about it?

KaratePigeon

We definitely didn't get a letter giving us 30 days warning


I know it's our fault but I honestly didn't think we'd have to pay it back, thought they would just stop.

KaratePigeon

Ok thanks, I'll try to get through to them this evening.

*Rainbow*Warrior*

KaratePigeon, I was overpaid tax credits a few years ago because I didn't renew. My circumstances had not changed so I stupidly didn't think I needed to renew as there was nothing different to tell them. It turned out they had actually reduced the amount you could earn and still be eligible so although our income had not changed, we no longer qualified. I was overpaid just over £200 before I found out.

I offered to pay it back straight away in a lump sum but they refused and said they would write to me. It actually took them a year or 2 to write to me - because they had to wait until the end of the tax year to make sure we didn't become eligible in the year etc.

Anyway, the point is, they allowed me to pay it back monthly. I offered £10 a month and they were happy with that. I thought they would ask for a higher amount but they didn't. Just paid the final installment back last month. So give them a ring and see if they will make a monthly arrangement for you.