To think this is DISGRACEFUL! Massive tax credits overpayment!

[CrumblingKnees]

Just furious that common sense is not prevailing and I am essentially being robbed of money by HMRC!

So, twin DC finished education in summer 2021. Both have a disability, DH works but we were entitled to tax credits as wage not massive and we got the higher rate due to disability. I remember getting a letter saying tax credits would stop from August 31st due to this. Was aware and knew I’d have to find a job to cover the shortfall.

Payments stopped and I then started working in November 2021. I do remember getting some letters from them but ignored as as far as I was concerned claim had ended (stupid I know). Youngest was diagnosed with a serious illness last summer and I’ve been a bit of a mess, not keeping on top of things like I normally am.

Anyway got a letter from them a few weeks ago saying we’d been overpaid almost £2,000! Shocked, rang and basically they’d added on my work income from November onwards to my tax credit claim for that year (it was not closed). I assumed claim had ended in August and if it had been there would be no overpayment!

I’ve explained this and filed a dispute. They’ve come back today and said that as I didn’t dispute before the end of Jan the overpayment stands and we need to pay it!

AIBU to think this is a pisstake and totally wrong for a government agency to take money from families like this?

@thismamayogi You really don’t get it do you? Yes, you made a choice to have several children you can’t afford. And you’re complaining the government isn’t supporting your decision to have several children and to stay at home looking after them. But where does the government get its finances? From people like me, who have made a conscious decision to limit our family to what we can afford and who pay our taxes, which…goes into your pocket!

So yes, you are very much entitled.

I’m also sorry that your DD isn’t well - I can’t imagine the stress of that. Hope things improve on that front.

Sounds like an excuse to not work.

Nothing wrong with being a SAHM or a big family if you can provide but you aren't. Only people to blame for not providing a bed is yourselves and not the government. The two child cap has been in for several years. Not sure why you think your children will remember their childhood fondly when they don't have much. Seriously you need to grow up a bit.

I’d not thought of that

Those children… any chance in life has been taken from them.

Why are you steadfastly ignoring the fact that tax credits are awarded across the whole tax year? Payments up to August were based on your anticipated income level for the whole tax year. Even though you ended the claim in November, your new earnings meant your income level for the year rose significantly and you were no longer entitled to the original calculation. Hence the overpayment.

Very simple, but you are ignoring this logic. I agree it's a horrible shock, but yes, you have been overpaid and HMRC are duty bound to recover this.