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Tax Credit Overpayment - increase in wage after marital split
Beki88
Posts: 1,356 Forumite
Hi all.
Split from Husband and joint claim ended 7/12/15. Upto this point his earnings were on track for what we had estimated for the tax year 15-16 but also very similar to 14-15.
After he left and the claim ended he did a lot of over time earning almost £3500 more than estimated. This was not contributed to the household.
Just received our final decision and we owe them almost £1000. I am willing to accept some of it as I did receive a payment after he had left but before they could cancel the claim, so I placed it to one side. They are saying even though he earnt the extra after we split, it still counts and that we are both jointly liable.
Our income was as it should have been when he was still here. I did not benefit from the extra income at all. They are using a full years income for only part of a years claim.
Is there anything that can be done or am I going to have to suck it up and deal with his eff up yet again? (still bitter)
Split from Husband and joint claim ended 7/12/15. Upto this point his earnings were on track for what we had estimated for the tax year 15-16 but also very similar to 14-15.
After he left and the claim ended he did a lot of over time earning almost £3500 more than estimated. This was not contributed to the household.
Just received our final decision and we owe them almost £1000. I am willing to accept some of it as I did receive a payment after he had left but before they could cancel the claim, so I placed it to one side. They are saying even though he earnt the extra after we split, it still counts and that we are both jointly liable.
Our income was as it should have been when he was still here. I did not benefit from the extra income at all. They are using a full years income for only part of a years claim.
Is there anything that can be done or am I going to have to suck it up and deal with his eff up yet again? (still bitter)
Everything will be ok in the end, and if it isn't ok then it isn't the end
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Comments
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Unfortunately that's how the system works. You could dispute it if you wanted to.0
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I shouldn't even bother to dignify this with an answer. Because he earnt more than he was supposed to do. Because he didn't support his family. And because now I'm going to have to pay for his mistake again. Just like I have to pay for a solicitor to divorce him for his adultery! He gets to take the easy option, screw around, reap the benefits and leaves us struggling. Yeah no wonder he left...How is it his 'f' up'? - no wonder he left...
Everything will be ok in the end, and if it isn't ok then it isn't the end0 -
I shouldn't even bother to dignify this with an answer. Because he earnt more than he was supposed to do. Because he didn't support his family. And because now I'm going to have to pay for his mistake again. Just like I have to pay for a solicitor to divorce him for his adultery! He gets to take the easy option, screw around, reap the benefits and leaves us struggling. Yeah no wonder he left...
I wouldnt bother replying to Guest 101 - he's a very rude poster with fixed views about ' women ' He's formed an opinion with zero information.
Unfortunately they base the Tc award on a whole years salary - even though you wasnt together.Stuck on the carousel in Disneyland's Fantasyland
I live under a bridge in England
Been a member for ten years.
Retired in 2015 ( ill health ) Actuary for legal services.0 -
Thank you. It seems so silly, I've never liked the way tax credits work it always seems backwards. My ex is going to ring them as he doesn't understand so I'm going to let him argue it out with them. I'll pay my part for the extra payment I got but I don't see why I should pay any more. Thanks again.I wouldnt bother replying to Guest 101 - he's a very rude poster with fixed views about ' women ' He's formed an opinion with zero information.
Unfortunately they base the Tc award on a whole years salary - even though you wasnt together.
Everything will be ok in the end, and if it isn't ok then it isn't the end0 -
It seems pretty obvious that your ex should make the bulk of the repayment, has he said that he won't?0
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He doesn't think he should owe it and wants me to pay at least half but then came the I can't afford it excuse!It seems pretty obvious that your ex should make the bulk of the repayment, has he said that he won't?
Everything will be ok in the end, and if it isn't ok then it isn't the end0 -
How is it his 'f' up'? - no wonder he left...
Really????? Why? Just why?I shouldn't even bother to dignify this with an answer. Because he earnt more than he was supposed to do. Because he didn't support his family. And because now I'm going to have to pay for his mistake again. Just like I have to pay for a solicitor to divorce him for his adultery! He gets to take the easy option, screw around, reap the benefits and leaves us struggling. Yeah no wonder he left...
Sorry you had to put up with that Beki. Please don't think anyone else thinks like that poster, because no-one is.He doesn't think he should owe it and wants me to pay at least half but then came the I can't afford it excuse!
As far as I know... if you had a joint claim, you are JOINTLY liable. So he does have to pay his half! Him saying he can't pay/won't pay is not acceptable.
You sadly do have to pay this debt however (between you!)
Tax credits is one of the most stupid systems ever implemented, and I know of at least TEN people who have had overpayments! Because they gave their income from the previous year as what it was (say joint income of £18K,) and tax credits said 'are you expecting things to be the same this coming year???' You say 'ummm pretty much yes.' (Which is honest at the time!) and then along comes a few bank holidays and a few days overtime, and WHAM, you have earned a few hundred extra! (Maybe even more!)
Thing is, it's people on low pay, working for hourly pay (and not getting paid if they're off,) that are the main recipients of tax credits, so their incomes often vary, and it's hard to 'predict' what you will earn next year for many!
I have heard tales of overpayments varying from £600 to £6000! The whole system is a farce, and the sooner people have DECENT pay for a DECENT day's work, the better, so they don't have to HAVE tax credits! They do take the debt out of your 'award' but when THAT stops, they demand it all at once. They will often take instalments, but if you come into some money, and don't offer to pay it all off, and they find out, they can demand it all then.
Call the number on your letter and say you will pay HALF the money in instalments, but that they need to chase your ex for the other half. Why the heck should YOU pay HIS half? It's bad enough that he cheated and left you - there's no reason you should be paying his debts too. Don't let him get away with it!You didn't, did you? :rotfl::rotfl:0 -
Ok so I have spent all evening going through paperwork as something just didn't feel right. I really hope it makes sense as it had my head spinning at the time and more so now.
These figures are from award notices we got after the 2015 review and are for the period 06/04/2015-05/04/2016.
Dated 4/8/15 (provisional award for 15-16)
Showed actual income for 14-15 £20336, no mention of 15-16.
Childcare 6/4/15-5/4/16 awarded £210 (after deductions).
Dated 20/8/15 (award for 15-16)
An estimated income of £20763.05 for 15-16 and showed payments we should receive from april 16
Childcare 6/4/15-5/4/16 awarded £210 (after deductions).
Dated 27/8/15 (amended award for 15-16)
Estimated income of £14291 for 15-16.
This figure was hugely wrong and had no idea where it even came from. I informed them as you will see below.
Dated 9/9/15 (amended award for 15-16)
Estimated income of £22126 for 15-16.
Childcare suddenly only showed as 26/7/15-5/4/16 awarded £450.74 (after deductions)
Dated 14/10/15 (amended award for 15-16)
Estimated income of £22126 for 15-16.
Childcare again only showed as 26/7/15-5/4/16 awarded £450.74 (after deductions). There was no reason for the childcare date to have changed and should still have been shown from April, however I didn't actually notice until checking now.
Dated 14/12/15 (amended award 6/4/15-7/12/15 claim ended)
Estimated income of £22126 for 15-16.
Childcare again only showed as 26/7/15-7/12/15 awarded £238.63 (after deductions).
Dated 7/7/16 (final decision for 6/4/15-7/12/15)
Actual income £23828 for 15-16
Childcare again only showed as 26/7/15-7/12/15 awarded £238.63 (after deductions).
As you can see the actual income received was £1702 more than estimated for 15-16 - the reason for this is I left my job which was the offset with his extra wage.
The change in childcare dates also added to the confusion.
None of it makes sense to me. I've wrote it all out so I can call tomorrow and query it so don't worry if it doesn't make sense to you either.
Everything will be ok in the end, and if it isn't ok then it isn't the end0 -
Haha thanks Peter, I think the trolls must be hungry this time of an evening. I've had worse and luckily I've been on the forum long enough to know 99% are nice peopleReally????? Why? Just why?
....Sorry you had to put up with that Beki. Please don't think anyone else thinks like that poster, because no-one is....
Thank you for the advice/kind words. Much appreciated.
Everything will be ok in the end, and if it isn't ok then it isn't the end0 -
Haha thanks Peter, I think the trolls must be hungry this time of an evening. I've had worse and luckily I've been on the forum long enough to know 99% are nice people
Thank you for the advice/kind words. Much appreciated.
As you say, most people are lovely.
Hope you get this sorted.You didn't, did you? :rotfl::rotfl:0
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