New State Pension starting amount and full record of qualifying years- trial service

Happychappy

Hi

Has anyone ever appealed to the HM Courts Tribunal service to contest an HRMC ruling ?

My wife worked from 1973 to 1980 and then stopped work on the birth of our first child on 3rd April, whilst raising the children, she was granted Home Responisibilty Protection which are basically National Insurance credits for the 3 years she didn't work and raised the children

During this period we received child allowance which continued till the children's 16th birthday, my wife returned to work and paid NI contributions and is still doing so.

She has 43 years NI contributions, but unfortunately is three short for State pension purposes, as the firm she worked for contracted out.

I have logged on to check her NI contributions history and see in 1980 it states not enough contributions made, therefore has a missing year.

I wrote to the HMRC and requested she be credited this year as she was still working from 6th April to 15th May 1980, and, as our daughter was born 3rd April, still in the previous tax year 1979/80 she was entitled to child benefit, and therefore Home Responsibility Protection for the 1980 period from 6th April.

HMRC say as the first possible date we could claim family allowance or child benefit was the 7th April, as this was a Monday, yet the child was born 3rd April. She therefore cannot claim a credit for the entire year ?

I appealed this to HMRC asking for a review, and they again refused, which basically means anyone born in the last three or four days of a tax year cannot claim until the first Monday of a new tax year, and therefore lose the entire years credit, even though she had paid 5 weeks from her employer as she worked her notice

I therefore appealed to the Tribunal in March and was told I would receive a Tribunal date soon, as the HMRC had 28 days to respond.

It appears ridiculous for one years credit to go to the expense of a tribunal when my wife was clearly entitled to claim but disadvantaged due to when the first Monday fell.

Anyway, today, 9 weeks after my letter giving HMRC 28 days, I receive a letter from the Tribunal service saying HMRC have failed to respond and they cannot find my complaint or any file, so the Tribunal service have given them a further 28 days to respond, and in the mean time, I have to furnish HMRC all my letters and replies, so they can be given them, I quoted all the HMRC reference numbers etc ?

Has anyone had dealings with a Tribunal Hearing against the HMRC, I know there is clearly a high degree of incompetence on the HMRC side, and clearly the tribunal service doesn't appear capable of ruling against them for failing to respond to the deadline ? sounds pretty toothless, but I will continue and hopefully someone may be able to share their experience.

Thanks HC

molerat

Even if you do get that year added it will make no difference to her pension. The maximum pre 2016 years she can use is 35, being contracted out likely only 30, and she already has in excess of that. You are wasting your own and everyone else's time. Concentrate your efforts on making up the post 2016 years.

zagfles

I don't see the point in appealing to HMRC. They implement the rules, they don't make them. You can complain to HMRC if they don't follow the rules, not on the grounds that the rules are silly/unfair.

HRP was needed for complete tax years, and I believe child ben/family allowance started from the Monday after birth. If the rules are stupid it's not HMRC's fault, it's the government's.

Besides, as above, it's unlikely to make any difference to her pension. I presume her state pension age is after April 2016? If so on the switch to the new state pension she would have had the full 30 years for basic state pension under the old rules, plus maybe some SERPS/S2P. This would likely have been the foundation amount. Adding another qualifying year pre 2016 would make no difference, unless it included some SERPS/S2P which was only introduced in 2002 for child ben claimants.

If there's still time, she could buy post-2016 years?

minty777

It says your forecast is £164.35 a week and £8575.56 a year but 52 X £164.35 is only £8546.2

molerat

52.18 weeks in a year. The annual amount is only a guide.

downshifted

Thanks to this helpful thread I have taken a look at my online state pension forecast. I've mostly been contracted out and I phoned up to check and my forecast is on the old rules.


It says I have 39 years full contributions, 6 when I did not contribute enough and 4 to 5/4/21. I will be 66 in June 21.


The forecast to 5/4/17 is £133.32. If I contribute to 5/4/21 it will be £152.10, and then it says the max I can increase to £156.80 (I don't understand that bit)



Am I correct in thinking I can only buy the years from 2016/17, and that I have up to 2 years after each year to make the payment at the lower rate? Apart from when I actually make the claim of course, I'm sure I have to pay up before then!

molerat

You have £133.32 to Apr 17
Each further year is worth £4.70.

Going forward you can add another 4, 17-18, 18-19, 19-20 & 20-21 to make £152.10. 17-18 has not yet been notified so is still considered a going forward year.
There is one prior year that can be added, 16-17, bringing you to £156.80.


Yes you are correct re the payments.

Jack_Itin

A very useful thread indeed...….I still can't understand why my weekly SP is £147 and a few pence......I have 48 full years NI contributions and one year not full (2015/16)…….I know I won't get the maximum amount, because I was contracted out.....I took early retirement in 2015, hence the not full year.....2016/17 and 2017/18 were made up with NI cedits and I am told that the not full year should make no difference......ringing DWP has so far proved a fruitless exercise.....I would just like to know WHY ?

GunJack

Jack_Itin wrote: »

.....I would just like to know WHY ?

It's just the way the calculation at April 16 has worked out for you, everyone's is different and depending on the employment history, amount of SERPS/S2P, etc.

fifeken

I think I'm one of the lucky ones who despite being contracted out for many years will get more than the £164 per week NSP. My question is, how is it displayed on the Gov website when you haven't made sufficient contributions due to being contracted out? All my years show as full years and I want to check I'm not missing something somewhere on the site.