Working benefits

Shadowkarst

Just curious how the DWP catch people on benefits who start work and don't tell them? Is it generally they get tipped off or reported by people or do the Inland Revenue/HMRC inform them?

Its just I know a few people who have done it in the past and years have gone by and they didnt get in trouble..Do they always catch you?

Londonsu

Shadowkarst wrote: »

Just curious how the DWP catch people on benefits who start work and don't tell them? Is it generally they get tipped off or reported by people or do the Inland Revenue/HMRC inform them?

Its just I know a few people who have done it in the past and years have gone by and they didnt get in trouble..Do they always catch you?

I think its a combination of both


The DWP use 'Real Time Information' (RTI) from HMRC to identify cases where claimants have either failed to declare, or have under-declared, their income from earnings or from non-state pensions. RTI is a new system for collecting Pay As You Earn (PAYE) tax information from employers and pension providers, who are now required to provide HMRC with income details immediately after each payment they make.


HMRC will pass on Real Time Information about earnings and pensions to Local Authorities, so that they can match it with their benefit records.


And people can phone using a hot line to report someone.


But hey, benefit fraud is a drop in the ocean compared to tax evasion, tax avoidance, MPs fiddling their expenses or millionaire pensioners collecting their state pensions/WFPs or using a bus pass , which is what someone on here is BOUND to mention so I thought I would get in first.

Shadowkarst

Londonsu wrote: »

I think its a combination of both


The DWP use 'Real Time Information' (RTI) from HMRC to identify cases where claimants have either failed to declare, or have under-declared, their income from earnings or from non-state pensions. RTI is a new system for collecting Pay As You Earn (PAYE) tax information from employers and pension providers, who are now required to provide HMRC with income details immediately after each payment they make.


HMRC will pass on Real Time Information about earnings and pensions to Local Authorities, so that they can match it with their benefit records.


And people can phone using a hot line to report someone.


But hey, benefit fraud is a drop in the ocean compared to tax evasion, tax avoidance, MPs fiddling their expenses or millionaire pensioners collecting their state pensions/WFPs or using a bus pass , which is what someone on here is BOUND to mention so I thought I would get in first.

I see..I thought the RTI system was brought in for universal credit, as that's how they know you're working and can calculate how much you get to keep etc. It is used for other benefits?

If so how come my friends didn't get into trouble? Is it just they don't always catch you?

Bogalot

Shadowkarst wrote: »

I see..I thought the RTI system was brought in for universal credit, as that's how they know you're working and can calculate how much you get to keep etc. It is used for other benefits?

If so how come my friends didn't get into trouble? Is it just they don't always catch you?

You can (and should) report them.

Benefit fraud is a crime. You wouldn't think twice about reporting them if they broke into your home, or if they assaulted someone, and this should be no different.

https://www.gov.uk/report-benefit-fraud

Darksparkle

RTI is used by many different government areas. DWP/HMRC don't have the resources to investigate every single person. Plus it wouldn't help find cash in hand or unregistered self employed.

If you know someone is committing benefit fraud you should report them.

Tommo1980

Sounds like you're planning to give it a go!

Shadowkarst

Tommo1980 wrote: »

Sounds like you're planning to give it a go!

Na too risky, rather become a politician. Laws dont exist then.