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Tax credits - can you help me work out if I've been overpaid?

4 replies

HappinessSuitsMe · 10/05/2019 10:33

Hi guys
I claimed a small amount of tax credits last year, I've now withdrawn my claim.
Waiting on renewal pack but I'd estimated my income for the year on my claim at 26k. My p60 figure is £24,800. Does this mean I won't have an overpayment? Thanks

OP posts:
NGC2017 · 10/05/2019 13:34

Hi

I am not sure there is any way of us knowing how they calculate these things. I have been on TC since 2014 and though I thought I had nailed their calculations, I never have.

I think they base it on the previous years earnings unless you will be earning £2500 lower or £2500 higher, then they will base your award on your estimated earnings for the current tax year.

Anyway, I cant make any promises but if your tax credits were based on £26,000 and you earn't less then there shouldn't be any overpayment. Have you run it through the online calculator to give you a rough idea. I know they aren't accurate, but it will give a little indication.

But in reality, no one knows how they work things. I've mostly been told ive been overpaid despite me never being able to work out how and where.

The renewal is the only way you will know. And a word of advise, keep a copy of the letter where it basically closes off your previous tax year with their final award decision.

I used to read absolute horror stories of how they approached people 10 years on chasing overpayments that were only just being brought to their attention. That made me literally sift through years of paperwork and order them by date and any I didn't have I requested copies of.
Now I know if they ever say to me you were overpaid in 2014 for example, I have their written proof that the renewal process was closed and what their final award notice was.

I hope this makes sense xx

HappinessSuitsMe · 10/05/2019 14:27

Thank you. I completely agree. I've had overpayments before but never been able to work out why! Although I've earned less that year I'm panicking I'll have been overpaid again. It's all very confusing.

OP posts:
gamerchick · 10/05/2019 14:30

I've had overpayments before but never been able to work out why!

The tax credit people can't work out why either, I wouldn't stress about that.

It looks like you would have been entitled to more money not less which would have been adjusted in this year's. I can't see how you would have an overpayment.... But this is the tax credit office.

HappinessSuitsMe · 10/05/2019 14:34

Exactly, they're a law unto themselves.

OP posts:
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