Tax credit help please.

[tom a]

I was claiming working tax credit for 2007/2008 and stopped working on the 31/03/08. I started a new job on 22/04/08 and informed tax credits.

They told me I had been overpaid and I was no longer entitled to tax credits.

I made arrangements to pay back the overpayment and thought that was that.

About a month ago I went on the tax credit online calculator and found out I am still entitled to tax credit. My circumstances haven't changed since April.

Rang tax credit and went through figures and they tell me I am entitled to £72 per week.

I've filled in the claims form and am still waiting for a reply.

My question is should the claim be back dated to April and will they do this?

Thanks in advance.

[poppynurse]

You need to make a formal complaint to their complaints department and tell them you were underpaid due to their wrong advice - they can pull copies of your telephone calls to see what was said and if they are in the wrong can backdate.

 

It can speed things up if you get your MP involved.

[trevormax]

If you sent in the tax credit renewal forms at the end of the 07-08 tax year, you will be entitled to the underpayment from the begining of the 08-09 tax year right up to todays date as the renewals form proves you made a claim for the tax credits. They will have records and logged forms proving you made the claim and was denied the money you are entitled to due to some idiot who doesn't know their job.

 

One thing i dont understand is how they told you you were overpaid. This is because the HMRC introduced a new rule meaning that if part way through the tax year you change jobs and get a bit more income, it will NOT affect your entitlement or the amount you get unless you are paid £25,000 MORE than you had previously been paid. Therefore whoever told you this should be given some training (link showing this HM Revenue & Customs: Changes in income and tax credits).

 

btw I would suggest everyone (including people who think they are not entitled) should make a claim for tax credits. Then if you find later in the year you are entitled, you get it backdated to 3 months before the date you claimed. Otherwise, the maixum you can backdate it is just 3 months.

[tom a]

Thanks for your replies.

I think the problem with overpayment started when I was out of work for two weeks. Can't claim working tax credit when your not working.

I continued to receive tax credit so when I started work I had been paid for the time I was in between jobs. Hope this is clear. It's confusing me now.

Spoke to them today and it's been back dated but waiting for letter from them to see when from.

Will let you know has soon as letter arrives.

Thanks once again.

[tom a]

Just an update. After a good few phone calls and form filling, DWP have finally paid me money owed from April 2008. They took into account the overpayment calculation and admitted it was a fault on their part.