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Disability tax credit claim

Hi there,

For three years until November last year I was only able to work part time due to a long term condition/disability. I qualified for working tax credits on the basis of having been on ESA for a while before then, and not being able to work full time hours. I was/am not in receipt of DLA.

My health improved in November and I decided to try and return to work full time. As soon as I went full time I contacted working tax credit to let them know that I was no longer eligible for tax credit and wanted to close my claim. They told me that instead, my claim would be reassessed for the whole year and therefore I would earn too much to be eligible for any aware for 16/17? They said that there was nothing I can do until I get my end of year notice, and even if I appeal, it's not likely to be successful. The guy on the helpline was so rude I ended up in floods of tears......

They are currently reclaiming the amount I received from before my health improved but I was wondering is there really nothing I can do about this? I really don't understand how I can be basically penalised for not scheduling my recovery in line with the tax year! I was eligible during the first half of the year on the basis of not being able to work full time. Surely when my health improved and this was no longer the case, my claim should have ended?

I'm trying to avoid having to phone them again as I know it'll upset me. I know I can dispute the overpayment online which I plan to do. I was in no way expecting to still receive tax credits from November onwards but I worked so hard to get my health to the stage that I was able to work full time and come off benefits, and it feels like I am being punished for it.

Anyway, I was just wondering if anyone has any experience of this/advice? I can't be the only person whose eligibility ceased mid-year?

Thanks for reading x

Comments

  • Torry_Quine
    Torry_Quine Posts: 18,863 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    As tax credits are worked out on your income for the whole year then a change such as yours which increases income can lead to an overpayment. There is nothing you can do presuming the amounts are correct
    Lost my soulmate so life is empty.

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  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Unfortunately the overpayment is likely correct. It's no different than someone getting a payeise or a bonus during the year. As tax credits is based on income for the full tax year, additional income earned later in the year can cause an overpayment of earlier payments.
  • Ok thanks everyone. Seems terribly unfair but what can I do.

    Thanks again
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