Tax credits overpayment

cabbagepatchkid

Hi, can anyone tell me whether the amount of the overpayment is each person or the whole amount. We have both received a letter for an overpayment from years ago.

calcotti

Legally you can each be treated as liable for the whole debt but in practice you should each be treated as liable for half the total debt.

cabbagepatchkid

So the amount on the letter is the whole amount or 50%? If that makes sense? The letter states nearly £4k owed, we have both had a letter so do we both owe £4k or is that the whole amount that we are both liable for? I've tried calling but been on hold for ages.

calcotti

cabbagepatchkid said:

So the amount on the letter is the whole amount or 50%? If that makes sense? The letter states nearly £4k owed, we have both had a letter so do we both owe £4k or is that the whole amount that we are both liable for? I've tried calling but been on hold for ages.

I would expect each letter to refer to only the amount you are personally being asked to repay, implying that the total debt is approaching £8000. The only way to be sure is to speak to HMRC (when you can get through).