Inland Revenue took my money in a bank occount

[momma91]

In 2003 the Inland Revenue said they overpaid me by £3950.70, as I was living on my own with the children. They wrote saying I was not on my own but living with my husband and that is why I have to pay the money back, these claims were not proven and they still wanted the money back,at the time I had £500 in my bank and the I/R took it without my knowledge. I have never had a bank account since because I am scared that they will take my money, what can I do ??????

I assume this is some kind of benefit or tax credit you were being paid but

Need more info though.

Were you living with your husband or not at the time?

Why have HMRC not yet taken the remaining £3450 from your salary/benefits or pursued you for unpaid debts?

Yes it was tax credits,and I was not living with my husband at the time, I am on benefits and HMRC do not take any monies out of it .I never went to court or have been charged with any fraud , yet all these yrs and i'm still scared to open a bank account

I had a dispute with HMRC around the same time for a different reason and it surprises many people to find out that HMRC do not have to prove you owe tax to them. They are not like the police. In many areas, HMRC have more powers than police and can just do an inquiry, make a determination of what tax they think you owe and then and levy it and you have to pay it. If you don't they have powers to take money form bank accounts or seize property. The only way you can get it back is to prove you do not owe the tax - and in this case that you were not living wth your husband.

I also recall there was a huge number of errors in the tax credit system at the time with a lot of arbitrary seizures of money from people on benefits. I think you need to talk to your benefits officer because I think that HMRC did reach a resolution of the errors and a settlement with people that had been unfairly treated after a big public outcry. I just can't remeber the exact details.

The other thing is you should write to or go and see your local MP at his/her surgery with the details of what happened and ask him/her to investigate.

MPs received many thousands of letters about errors in the tax credit system at the time and it was eventually pressure form them that caused Trasury and HMRC to sort the problem out.

Your MP should write to HMRC on your behalf with any evidence you have that the money was taken wrongfully and to seek assurance your bank account will not have money taken out again.

how do you get your benefits etc without a bank account?

I had a reconcilliation with my husband in 2006 and benefits go into his account

ah ok

I think you ought to go to your local CAB and get some help to see what you can do.

ok I will thank you.