what will happen to my esa

[gixser1001]

I need some advice. I have just been informed today by HRMC via a P800 in the post that I am due a tax refund from 2007 for £2,570. It seems a former employer screwed up and it taken this long for it to be discovered. Anyhow a nice early xmas present once the cheque arrives from the tax man.

 

I am pretty sure I have to inform the DWP of this and it will not put me over the £6,000 limit that for sure.However, as I am on esa in the support group, how will this refund affect that if at all? I am also on housing and council tax benefit.

[antone]

Tax refunds count as capital. As long as you are not over the £6000 threshold, your ESA and HB should not be affected. Your CTB probably won't be either, but I can't say for 100% sure because each council now has its own rules about that.

[gixser1001]

Okay thanks antone. That's reassuring info for when I do the change of circumstance thing.

[Nystagmite]

Do it when you receive the money.

[Consumer dude]

Also, make sure the tax letter is real..

[gixser1001]

oh I will not tell them till the money is cleared in my account and really there lol. I called the HRMC consumer dude when I got this letter and they confirmed it was a valid refund. The P800 is confusing and read like I owed them so I called to query and found it was the other way around.

[Nystagmite]

You should receive a letter from HMRC. Send a copy (not the original) of that letter to DWP.