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Separation - Trying to get different tax assesment

cts_casemod
cts_casemod Posts: 272 Forumite
Tenth Anniversary 100 Posts Combo Breaker
edited 12 September 2016 at 12:28PM in Marriage, relationships & families
Things between me and my OH have gone a bit sore over the years. It seems we cant sort out a divorce even tough I made it really simple that she can keep everything.

We have a daughter, which brings things worse and thats the reason the decision to separate has taken more than really needed.

Time has come and we decided to live in different households (altough she still wont give me a dicorce), 150 miles away, which has created some friction with council taxes, HMRC, etc.

HMRC is refusing to break down our tax assesments into different claims rather than a household. I send some money for the upkeep of our child and in their view that creates a financial connection between us. I pointed them to the fact we're living in different addresses, have different bills and bank accounts, but they still refuse to do it as we are married and (in their view) 'share' money.

Now the tax credit payments have stopped because my OH cant find her income details for last year and we still havent completed the tax return for april, due in July. As such they are threatening to come after both for payments received last year.

What should I do with these people, considering I'm stuck in a claim due to no fault of my own?

Comments

  • gonzo127
    gonzo127 Posts: 4,482 Forumite
    Part of the Furniture Combo Breaker
    i might be reading this wrong, but sounds as if you want two separate claims for child tax credits for one child, which you can not do, you can only have one claim per child, which would go to the person in receipt of the child benefits - usually the mother.

    with this in mind it sounds as if you have had a joint claim (even if it goes to only only one bank account), in which you would be jointly responsible for any over payment.

    child maintenance doesnt create the link as you seem to believe, and it will be down only be down to the tax credits claim, as a joint claim.
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  • Guest101
    Guest101 Posts: 15,764 Forumite
    I think you're over complicating the situation.


    You are seperated, pending divorce.


    Tax credits should be claims by the PWC.
  • gonzo127 wrote: »
    i might be reading this wrong, but sounds as if you want two separate claims for child tax credits for one child, which you can not do, you can only have one claim per child, which would go to the person in receipt of the child benefits - usually the mother.

    with this in mind it sounds as if you have had a joint claim (even if it goes to only only one bank account), in which you would be jointly responsible for any over payment.

    child maintenance doesnt create the link as you seem to believe, and it will be down only be down to the tax credits claim, as a joint claim.

    Yes, some confusion here.

    Currently child tax credits and child benefit are paid to myself and I want to change that and have them paid to my OH. I dont qualify for any of them once we separate.

    The big issue here, and I'm probably not using the right terms, is that we have a combined benefits claim and tax return and I want to separate them and do my own tax return, not as a couple or whatever HMRC says it is
    Guest101 wrote: »
    I think you're over complicating the situation.

    You are seperated, pending divorce.

    Tax credits should be claims by the PWC.

    What is the PWC?
  • pphillips
    pphillips Posts: 1,635 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    PWC is 'parent with care' meaning the parent that the child lives with.

    Why do you think that she has to give you a divorce? Its the court that gives you a divorce, not her. Maybe you mean that she has to start divorce proceedings because you have no grounds to divorce her or you want to go for two years separation with consent.
  • sheramber
    sheramber Posts: 24,514 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    Although you talk about tax assessments I assume you mean tax credit claims. Tax assessment generally mean income tax assessments.

    You would be better posting in the Benefits and Tax Credits section as there are people with tax credit knowledge who help out in there.
  • pphillips wrote: »
    PWC is 'parent with care' meaning the parent that the child lives with.

    Thank you, that was my intent all along.
    pphillips wrote: »
    Why do you think that she has to give you a divorce?
    She's living with someone else, so I think its a sensible request.
    pphillips wrote: »
    Its the court that gives you a divorce, not her. Maybe you mean that she has to start divorce proceedings because you have no grounds to divorce her or you want to go for two years separation with consent.

    Good point. Bad choice of words on my end, 'consent' is, of course, a more suitable choice, which is the option we plan on taking. No point in spending fortunes in lawyers, better to behave like adults and move along. Life will carry on.

    sheramber wrote: »
    Although you talk about tax assessments I assume you mean tax credit claims. Tax assessment generally mean income tax assessments.

    You would be better posting in the Benefits and Tax Credits section as there are people with tax credit knowledge who help out in there.

    I Think you may be right on this. But arent they closely related? Benefits apart, there are different thresholds for earnings as a couple, or am I thinking about something different?
  • pphillips
    pphillips Posts: 1,635 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    Well if she doesn't want to give consent then divorce is normally on the grounds of unreasonable behaviour or you wait until you can apply for five years separation.
  • sheramber
    sheramber Posts: 24,514 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    Thank you, that was my intent all along.


    She's living with someone else, so I think its a sensible request.



    Good point. Bad choice of words on my end, 'consent' is, of course, a more suitable choice, which is the option we plan on taking. No point in spending fortunes in lawyers, better to behave like adults and move along. Life will carry on.




    I Think you may be right on this. But arent they closely related? Benefits apart, there are different thresholds for earnings as a couple, or am I thinking about something different?


    Income tax has no connection to tax credits. They are two different things- you pay income tax on your wages, you get paid tax credits.

    To change your child benefit you only need to contact the child benefit office and advise them.

    I doubt tax credits will accept you are permanently separated as long as you receive the child benefit payments.

    Tax credits only consider you separated if the separation is under a court order or there is other proof that the separation is permanent.

    I think the fact that your OH has another partner would count as proof of a permanent separation , as well as getting the child benefit payments changed to your wife , but as I said post on the Benefit and Tax Credits section as there are two posters on that board that know about tax credits.

    As you did not complete the renewal the tax credit award for the year will be cancelled and the money will be required to be paid back by either or both of you. Again the above posters will be able to advise you what, if anything, you can do about that.
  • sheramber wrote: »
    Income tax has no connection to tax credits. They are two different things- you pay income tax on your wages, you get paid tax credits.

    To change your child benefit you only need to contact the child benefit office and advise them.

    I doubt tax credits will accept you are permanently separated as long as you receive the child benefit payments.

    Tax credits only consider you separated if the separation is under a court order or there is other proof that the separation is permanent.

    I think the fact that your OH has another partner would count as proof of a permanent separation , as well as getting the child benefit payments changed to your wife , but as I said post on the Benefit and Tax Credits section as there are two posters on that board that know about tax credits.

    As you did not complete the renewal the tax credit award for the year will be cancelled and the money will be required to be paid back by either or both of you. Again the above posters will be able to advise you what, if anything, you can do about that.

    Thank you for the usefull advice.
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