Ppi reclaim and benefits

clarkey65

Been advised today of over £16k ppi refund - still in shock !!
Thanks martin lewis !!
Anyway, as i claim esa in the contribution based support group due to illnes, does this have to be declared to dwp ???
They are taking 20% tax off the interest element - do i need to do anything with hmrc ???
Thanks in advance

[Deleted User]

clarkey65 wrote: »

Anyway, as i claim esa in the contribution based support group due to illnes, does this have to be declared to dwp ???

If this ESA is a means tested benefit then you'll now probably not qualify.

If it is not means tested then you have nothing to declare.

If you are a non-tax payer, you will be able to claim back the tax paid on your windfall from HMRC.

Up to you how you now proceed.

antrobus

clarkey65 wrote: »

Been advised today of over £16k ppi refund - still in shock !!
Thanks martin lewis !!
Anyway, as i claim esa in the contribution based support group due to illnes, does this have to be declared to dwp ???
They are taking 20% tax off the interest element - do i need to do anything with hmrc ???
Thanks in advance

If your ESA is contribution based then it doesn't matter how much money you have. If you are in the support group there is no limit on how long you can receive it for.

As to the 20% tax on the interest element. Depends on your taxable income for 2017/18. You might want to contact HMRC to get the tax repaid.

Enjoy your £16k.

clarkey65

My ESA letter states as follows :
Living Expenses £
Disability income guarantee £
Extra money for being in support group £
Giving a total “income-related amount” of £

Still not sure what that means for me savings wise - hate to take the £16k then get clobbered later on !
As only get £127 a week am way below the tax threshold so I am ok to ring HMRC and get interest tax back ?
Used to be an accountant so should get all this really but “Epilepsy” diagnosis has “addled” my brain somewhat !!
Lol

[Deleted User]

clarkey65 wrote: »

As only get £127 a week am way below the tax threshold so I am ok to ring HMRC and get interest tax back ?

You fill in a form which they'll send you.