I've been stupid RE Tax Credits

[IsItOKToPanic]

I've NC'd and made a new account for this one..

I know I'm going to get flamed but I need some information.

DP and I are claiming tax credits as we have 1 DC. We get approximately £400p/m. When it came to renewing in July I truthfully put our annual income down for the previous year and as DP was on a temporary contract, I said that the figure was unlikely to change.

DP has had a new job as of October last year. Taking our annual income to £25k. I haven't declared this yet as I'm terrified of what might happen and we needed the money.

I'm thinking of telling them in April when we get DPs p60. DP thinks we should just leave it until we renew in June.

Does anyone know what will happen? Will I go to prison? Will they just take money out of my bank? Please anyone with experience of this? Any advice welcome.

Laura the op is legally allowed to inform hmrc when she completes her renewal.
Yes she will have an overpayment, but that is all.

Tax credits confuse me. We are having payments the highest we have ever had them before. I started a job 12 hours a week in December so phoned and told them ànd when our amended tax credit form came through the payments to us have gone up not down. I am really worried it's all wrong and we will owe them loads but all the figures are correct.

Oh so I'm illiterate now thanks I did a whole year claim that I was not entitled to and I owed 10000 to them I did not know u can't get it if zero hour contact so they said u have committed fraud and they were theatnint court I did not get a repayment option they wanted Full balance but what do I know I'm illiterate Im dyslexia but thanks didn't kniw u joined a support group to be made a full of and told my experience is.wrong when I know u had to pay back in full and in stupid I know what happened to me it got called fraud as I had 1 year of payment I was not entitled to I appently knowing did so I got hammered

Remember OP that your DH hasn't been earning 25k the whole year, so they won't base it on 25k, it'll be actual earnings come renewal. So the first 6months on his previous salary and then his new wage from October.

And they'll only change it if the difference in wage is +£2500. So the overpayment might not be as bad as you think. But ring them as soon as you can to get the ball rolling (or fill it out online but that takes longer to process)

Yes as I've already said I can't read it write so I read it wrong very sorry for making a mistake and r thanks for cheeky Response as I appreciate use are all perfect and have no difficulty in reading and writing I had already said sorry I don't know why t joined site as I'm stupid and have my failings mocked by people who think it's funny only one of u had to say I mistook it

OP, HMRC say that you should tell them immediately if your income goes up by more than £2500. It also says that there is no deadline for reporting these changes (although the usual July and January deadlines would obviously apply).

They disregard the first £2500 of any increase, so anything above that, they will count, and adjust your tax credits accordingly.

it is up to you, if you can afford to pay it back, then keep on claiming it. If you can't, then advise them asap and get a reduced amount now.

I would rather get less now, than have to report a massive increase and have to repay loads. you will get less ongoing after April as well due to the income increase. It is just common sense to let HMRC know asap really.

In my experience it can take until August to get the renewal done, possibly longer if they query anything. SO thats 5 months of money you'd need to pay back completely, plus any over payment for the previous year. Just ring and tell them or make the change online. Not worth the hassle otherwise.

Try this with your circumstances as they are now half a year on old wage, half a year on new. www.gov.uk/tax-credits-calculator that will give you an idea of how much you have been overpaid. Then it is up to you to tell them now and have it changed or tell them once its renewal and have a load more to pay back. Depending on if you both work and/or you have child care costs you may still be entitled to some even on a family income of 25k. So redo it on new income to see what you would be entitled to this next year

Omg I have a disability and dyslexia and some of u jumped down my throat I said sorry and explained that and one called me illustrate and it hurt my feelings and they do not say sorry but I say sorry for not being perfect and no one cares how u made me feel really regards to being made fun of for disabiy and reading and writing god is wrong to stick up for someone like this and realise not everyone is perfect but use act as if u are well to the person who said I was illiterate u hurt my feelings and I had already said sorry yet j point that out and do not say anything about it as y thought this was ok to make someone feel bad all u want people are very Hurtful of others and do not call people out for making a full of someone with disabilities and no one say anything so use think it's just be me that think it's wrong

The staff are totally incompetent. We had a total nightmare with them.

We ended up being overpaid by £5000 because they didn't log it properly.

They wanted it to be paid back in one year. Who has Five grand lying around.

We fought them for two years and ended up going to the ombudsman.

Don't give up.

We had to pay back half in the end.

My blood boils when I think about the stress they caused.

Good luck.

Don't you get fined of you do t tell them within 3 weeks?

www.gov.uk/tax-credits-overpayments/repay-your-tax-credits

“Call the helpline if you can’t repay immediately - you may get more time or be able to spread out payments over a longer period. You’ll need details of your living expenses, income, investments and savings.”

Hopefully that will be helpful.

I think it's only certain changes you have to inform within three weeks not increased income.

OP, the info in my last post was taken from HMRC website. Google “tax credit income increase” and have a read .