tax credit annual review letter re:overpayment timescales

stresshead12

Hi all,

Just received out annual review for the tax credits.  We stopped claiming mid way through the year and did not switch to universal credit. The TC603R form states we have an overpayment but does not advise how to actually pay.
Can anyone in the know tell us, does HMRC wait until the 31st July when the reviews are finalised to then send a demand for repayment, or can we somehow pay it before then?
Thanks in advance for any pointers, they would be much appreciated.

peteuk

Tax Credit overpayment can be claimed by HMRC/DWP at any point.  We had notification of an overpayment request 10 years after the event. 
So it’s up to you how proactive or reactive you want to be. 

Normally it would be deducted from your current benefits (which obviously in the OP case, wont apply) you can contact them and set up a payment plan or pay it outright.  

Or you can wait until your account gets to the top of the debt pile and then pay/set up a payment plan. 

For general info - had the Op been sent a UC migration letter, migration to UC would have lead to an in year end of TC, rather than a stop.  This may have avoided the overpayment. The way in which TC is calculated means although the OP stoped mid way, the UC is calculated on their whole years salary. 

Loza2016

I had a tax credit overpayment a few years ago and like you I was no longer claiming so there was no way of them deducting the overpayment. They would not let me pay or set up a payment plan until I had received a notice to pay letter. Took them over 12 months to finally send one despite me chasing and wanting me to pay.