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Tax rebate after discharge from BR

I have received a £200 tax rebate today,as I over paid tax last tax year. Do I need to inform the OR of this?

Comments

  • fermi
    fermi Posts: 40,542 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker Rampant Recycler
    If it relates to a tax year before or the one in which you went BR in, then yes you do need to tell them.
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  • I know quite a few people who during bankruptcy received a tax rebate, some very recently. All kept the money which I'm not condoning at all, however my uncle who works in the Insolvancy Service claimed that unless somebody calls and reports them they have absolutely no way of knowing. He even went on to say if it's a few hundred quid or less they have no interest and would cost them more in administration costs.
  • luvchocolate
    luvchocolate Posts: 3,479 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Home Insurance Hacker!
    You are legally bound to inform the O.R of any changes to your circumstances, nobody on here will tell you not to be honest and upfront.

    Or they are not worth taking advice from if they tell you otherwise.
  • It's from the tax year after I went bankrupt, but during the one I was discharged, so I have informed my OR, who has always been more than reasonable, I'll let you know the outcome.
  • elljay
    elljay Posts: 1,026 Forumite
    Part of the Furniture 500 Posts
    jason909 wrote: »
    I know quite a few people who during bankruptcy received a tax rebate, some very recently. All kept the money which I'm not condoning at all, however my uncle who works in the Insolvancy Service claimed that unless somebody calls and reports them they have absolutely no way of knowing. He even went on to say if it's a few hundred quid or less they have no interest and would cost them more in administration costs.

    Not really sure this is worth answering but a reminder that one of the first forms you sign after becoming bankrupt (usually within the first couple of days) is one that gives your permission to the OR and HMRC to talk to each other. So HMRC knows you are br and the OR knows your tax situation.

    I had 2 tax rebate notifications relating to my br year. One time HMRC put a payment of over £2k straight into my bank account and the second time wrote to notify me that nearly £2k again had been sent direct to the OR's office. I notified the OR and they gave me their bank details to forward the first one on.

    It's legally (and morally) right to tell them so Mollie you did the right thing and Jason's uncle is misinformed.
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