Tax credit overpayment 2005/06

[jonnyb1978]

Hi

 

Received a letter today from Equita dca asking for overpayment to be paid back.

 

The overpayment amount to £1200

 

£150 of this is from 2005 when my wife's employer stopped paying it through her wages.

 

 

They actually carries on for a short while and I have proof from a Sar request as a member of the HMRC

has hand written 'amended error with a reference number'... So not our fault.

 

The remainder is from 2005/6 award saying we never returned annual declaration when we did...

 

this was actually just in my wife's name.

 

 

Just as we got together.

My wife got a letter at the time stating overpayment so rang to query.

Hmrc said on the phone we owe them nothing and to ignore letter.

 

Fast forward a few years

 

 

a letter arrived for overpayment.

We disputed and asked for Sar.

 

 

Surprise surprise the telephone conversations was missing and they never answered my questions.

 

 

Later we had Advantis chasing us so

I informed we were still in dispute as they have not given me what I asked for a fair dispute.

 

 

I wrote to Hmrc again for telephone records again UT they replied they no longer have them.

Advantis disappeared.

 

Fast forward to today with Equita.

 

How should I approach this.

Ignore them or claim I'm still in dispute and mention it's statute barred..??

 

I know they can still try to recover but we do not claim now anything now.

[citizenB]

For some very strange reason your thread disappeared. Hopefully it wont happen again

 

We are seeing this time and time again with DCAs pursuing alleged benefit payments.

 

The DCA cannot take any legal action to recover so any threats are simply just that threats. However, as you point out, HMRC can recover through any future benefits.

 

Did you not keep the original SAR paperwork ? It is a shame that all your communication was via the telephone and no records are now available.

[blondebubbles]

Even if you don't claim tax credits now, they can still pursue you for the debt. They could deduct this from any future benefits or can change your tax code and recover it via your wages (if working, receiving pension, taxable benefits etc).

 

The only thing they cannot do is take you to court over the debt.

 

The dispute process has changed and you now need to dispute within 3 months of the final decision being made. It is unlikely they will accept any further dispute now.

[jonnyb1978]

Thanks. Yes a few strange things going on with my account lately.

 

Anyhow. Here have never really answered any of my questions. I do have the SAR but they take no notice. I have explained yet they just come back with they are happy with the outcome and that's that.

 

I've sent the dca a letter claiming it's still in dispute as they have failed to answer my questions and supplied the relevant phone calls when requested to allow a fair dispute, set out the harassment details and that's it's statute barred.

 

Also sent HMRC the same letter but explained the statute barred in more detail quoting the act.

 

HHopefully shut them up again for a while until next time.

Thanks

[OlafJensen]

Well well.

 

 

This is another shafting to the poor.

 

 

I received a letter from these peeps some 6 weeks ago demanding £1700 for over payment from 8 years ago.

 

 

I sent them a return letter asking for a full breakdown of this bill and a detailed statement of payments and dates.

 

 

Did not hear nothing until today.

 

 

It was not from them.

 

 

It was from a debt recovery firm called SIGMA.

 

I,m sure I am entitled to what I asked for from HMRC.

 

 

In no way or form am I paying this SIGMA a penny.

 

 

And good luck to them if they come calling,

 

 

my assets are zero.

[jonnyb1978]

Just an update after receiving a further letter.

I sent them the harassment letter and stated it was also statute barred.

 

II have now received a letter stating to pay immediately otherwise they will have no alternative but to recommend enforcement action.

 

They go on to remind me that this may result in fees and legal costs. An enforcement option where goods are taken into control a minimum of £310 will be added to debt, and that it will be deducted out of the proceeds of the sale of our goods...

Is this just typical scare mongering? Can they take goods without court action?

[ericsbrother]

they cannot take court action as it is SB and anyway, they dont own the debt.

[jonnyb1978]

But can HMRC take control of our goods. I send bailiffs to house??

[renegadeimp]

HMRC debts are not Statute barred. The limitations act doesnt apply.

[goodatresearch]

I may be wrong, but the LA does apply, however that only means that a SB debt can't be pursued though the courts but can be deducted from present or future benefits including state pensions.

 

HMRC debts are not Statute barred. The limitations act doesnt apply.

[BRIGADIER2JCS]

HMRC debts are not Statute barred. The limitations act doesnt apply.

Not quite correct as the DWP HMRC etc., can make "attachments of earnings " orders without the need for a court order.

[goodatresearch]

Its called a direct earnings attachment and this process started as a pilot in April 2013 where money can be taken from wages without a court order. I think the amount they can take follows the same formulae as deductions from benefits for over payments.

 

However the limitation act does still apply to court action for benefits overpayments (CCJs etc).

 

Now I rang the DWP about an overpayment of WTC for a family member and was told because it was passed to a DCA they couldn't take it back and deduct from present WTC. Apparently they couldn't deduct it anyway if they took it back because the present WTC payment is classed as a new claim as its no longer a joint claim with a partner.

 

However from October I believe everything changes so the DWP can take WTC overpayment from new WTC claims. I'm trying to get the DWP to take it back so that the rules have to followed re percentage of salary deductions.

 

I hope the above helps.

[blondebubbles]

Its called a direct earnings attachment and this process started as a pilot in April 2013 where money can be taken from wages without a court order. I think the amount they can take follows the same formulae as deductions from benefits for over payments.

 

However the limitation act does still apply to court action for benefits overpayments (CCJs etc).

 

Now I rang the DWP about an overpayment of WTC for a family member and was told because it was passed to a DCA they couldn't take it back and deduct from present WTC. Apparently they couldn't deduct it anyway if they took it back because the present WTC payment is classed as a new claim as its no longer a joint claim with a partner.

 

However from October I believe everything changes so the DWP can take WTC overpayment from new WTC claims. I'm trying to get the DWP to take it back so that the rules have to followed re percentage of salary deductions.

 

I hope the above helps.

 

Tax credits are dealt with by HMRC and not DWP.

[goodatresearch]

Yes your quite right, must be having a senior moment. Checked my notes and it is HMRC that are chasing my family member and its them I rang. However, everything else I said is valid. I will try and find where it says from October they can take it from new claims.

 

If the debt is valid, even if statute barred, the HMRC can obtain payment at some point. Wouldn't it be better to get it back to the HMRC than pay a DCA?

 

 

 

 

Tax credits are dealt with by HMRC and not DWP.

[renegadeimp]

Correct. Never deal with a DCA. No reason to.

[blondebubbles]

Yes your quite right, must be having a senior moment. Checked my notes and it is HMRC that are chasing my family member and its them I rang. However, everything else I said is valid. I will try and find where it says from October they can take it from new claims.

 

If the debt is valid, even if statute barred, the HMRC can obtain payment at some point. Wouldn't it be better to get it back to the HMRC than pay a DCA?

 

Chnages from October 2014 are detailed here:

 

http://www.revenuebenefits.org.uk/tax-credits/guidance/how-to-deal-with-hmrc/dealing-with-debt/#ongoing_recovery_old_tax_credits_debt

[goodatresearch]

Thanks saved me from posting the link.

 

Chnages from October 2014 are detailed here:

 

http://www.revenuebenefits.org.uk/tax-credits/guidance/how-to-deal-with-hmrc/dealing-with-debt/#ongoing_recovery_old_tax_credits_debt