Tax Demand

[RSJK]

Got in from work last night to find a nice letter from the Inland Revenue to say that we were overpaid by nearly £3,000 pound working tax credit in 2004, and they would like it payed back to them by  February 1st or they will be taking me to court. I have received no letter off them since 2004 saying anything about this amount being overpaid to us, what the hell do I do.
I think this tax credit scheme brought in by Gordan Brown as been nothing but a rip off  He gives it you one year and then the next demands it back, it is nothing but a vote pulling scam.

[RSJK]

[Hyacinth]

Think you go to CAB in the morning, Richard.

An' you can ofer to pay back at a fiver a month....nah, try a pound.. ;D

[supersprout]

That's truly appalling Richard. Unbelievable. Maladministration of tax credits has been a longstanding horror story, with no visible accountability. I wonder if there's a pressure group or class action by now? Can only say my thoughts are with you, and good luck with the inevitable fight :-\

[kitten]

Hi RK, i'd ask for some advice too.  It's simply not acceptable for them to wait 3 years to remember that they've paid you too much, then demand it back within a matter of days.  I'm sure after you've been to the CAB, a solicitor would be a good port of call for some advice too.  IF they make you pay it back, then make sure it's a small amount each month that you can afford to spare, it's their fault for c*cking it up in the first place, so don't see yourself short.  Good luck x

[Hyacinth]

and CAB have solicitors.

Richard I've just googled "over-payment of tax credits"

Have a look - loads to read there 8)

[RSJK]

Thank you all for your replies, just looking at google now Alishka thank you very much,  my wife was in pieces last night as some of you know from a previous post that we are going on holiday this September for the first time in 10 years and the first thing the wife thought was that now we will not be able to, just again I am so thankfull to you all for your replies.

[saddad]

Nihil Illegitimus carburundum.... or some such dog-latin...
;D

[triffid]

 >:(  Poor you. Poor your wife.
I second (third? fourth?) Alishka: CAB's definitely got to be your first stop: they're strong critics of the whole system.

But you are so not alone. The BBC has been reporting on this fiasco and the hurt it's causing for ages:
http://news.bbc.co.uk/1/hi/business/4939186.stm

and has an online Q&A page which may offer you some guidance:
http://news.bbc.co.uk/1/hi/business/5032876.stm
plus a section on 'dealing with tax credit overpayments' by an eminently qualified author:
http://news.bbc.co.uk/1/hi/business/4119028.stm

Hellfire. What a shower they are: what a bunch of incompetent, arrogant bullies.

[bennettsleg]

Is there a statute of limitations for demanding re-payment? I would suggest this is unreasonable behaviour designed to cause mental cruelty and not to mention disciminatory victimisation (only if you voted Tory).  Get as much legal help that you can - remember to apply for Legal Aid - and fight back.

Very sorry state of affairs and you have my simpathies and soapbox. Hope this won't damage your holiday or your (collective) health.

[cornykev]

Best of luck mate. ;)

[Shirley]

Let us know how you get on.  Our thoughts are with you

[Blue Bird]

It seems so unfair  :( >:(I wish you all the best and agree that you should get advise
thoughts are with you and do keep us posted

[SMP1704]

That's really bad news Richard.  With everyone else on going to CAB for some advice.

Think back, between tax years2003/04 2004/5 and 05/06 did your circumstances change? do you complete a tax return? and keep copies?? if so, dig them out and have a look at what information you supplied - make sure that you put the right figure in the right box

The whole tax credit system is a nightmare.  I know it is easier to say than do, but when talking to the Revenue stay calm and logical, get them to explain to you how the overpayment arose.

Good luck, remember to breath and don't let go of the holiday for anything......

[rosebud]

Richard, so sorry to hear your news what a shock you & your wife have had.  Offer to pay them £4 a month they cannot refuse to accept on offer of repayment just be as cussed as they are, how dare they demand instant payment for there bl**dy mistake. All the best good luck  Mary. ;D

[Robert_Brenchley]

This is typical; they've been taking money back off us for years. Every year it was just another demand. The whole system is just rubbish.

[ACE]

Scare tactics, They send you an over the top bill, this ensures you get in touch pdq.

Then when they have grilled you fo an hour or two, they say 'sorry sir our mistake'

This is the way they  try to trap people that are cheating on their taxes, because with them you are guilty until you can prove you're innocence.

Believe me, I've been there.

[Lazybones]

A work colleague was in the same situation to £5k and apparently the baliffs were being sent this week as she had not been in contact since 2004 when they had apparently sent lots of letters.

She phoned them - it was overpayment but was an error on their reading of the original form and as it was so long ago they said they would probably not try to recover the money.  Oh and the baliffs were not coming - that was just to make her get in touch - oh and they hadn't sent any previous letters.

Nice people eh!!!

[timelady]

That's so scary. I get tax credits and can't figure out the system at all. I've been overpaid in the past (but not enough for them to claim it back) but then still qualify for credits this year? (though much smaller) I really don't understand their logic - surely if they'd overpaid me in the previous year they'd collect that back from the present year and nullify what was due to me.

I hate to complain because I can use the extra pence but when I get a tax credit update showing me what they'll pay me at the same time I get my self assessment tax due statement it does make the mind boggle.  ::)

I'm going to read some of those links just in case I need them later.
Tina.

[Barnowl]

Just think of that lovely "payroll vote" Gordon has achieved by adding all those bureaucrats >:(

[Barnowl]

Sorry - that was a bit off message.

One important thing to be aware of is that, if you can't reach an agreement with HMRC .....

"You must make your appeal within 30 days of the date shown on the decision notice. This time limit may be extended but you must provide grounds for admitting a late appeal."