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Top Working Tax Credit & Child Tax Credit topic #3188

Subject: "Offers of settlement" First topic | Last topic
Richard Stacey
                              

Benefits Advisor, Wiltshire Law Centre
Member since
02nd May 2008

Offers of settlement
Wed 23-Jul-08 09:00 AM

Dear All

My first post!!!!!!!!

I have been advised by the great Steve Johnson that the TCO acccept offers in full and final settlement. I have a client who is recently bereaved. We are minded to make an offer of half the overpayment in full and final settlement.

Has anyone had a similar tactic succeed? Any tips?

All contribuations gratefully recieved.
Rich

  

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Replies to this topic
RE: Offers of settlement, ariadne2, 23rd Jul 2008, #1
RE: Offers of settlement, Victoria Todd, 28th Jul 2008, #2
      RE: Offers of settlement, Richard Stacey, 05th Aug 2008, #3

ariadne2
                              

Welfare lawyer and social policy collator, Basingstoke CAB
Member since
13th Mar 2007

RE: Offers of settlement
Wed 23-Jul-08 10:38 AM

This is one of the upsides of HMRC's insistence that tax credits are part of the tax system. Unlike social security law, where (provided the calculation is right) any overpayment figure is and has to be set in stone, the tax system has always been open to negotiation on what they think is underpaid tax. In the context of tax credit overpayments (which are if you like a version of underpayments of income tax), this can lead to frustrating impasses where you are trying to get a clear explanation of why they say it is £x and they are waiting for you to tell them how much you think it is!

I have experience of them finding it so hard to justify theiroverpayemnt figures that they find it easier just to say "we've decided this overpayment is not recoverable" even though your argument is that there hasn't been a ******* overpayment in the first place; but not of full and final settlements. However in my CAB money advice experience some commercial creditors are willing to do this even when the amount is not in dispute. HMRC seem willing to take a more pragmatic, commercial style approach to "debt". Does anyone else have specific expereince?

  

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Victoria Todd
                              

Welfare Rights Adviser, Low Incomes Tax Reform Group (LITRG)
Member since
13th Jan 2006

RE: Offers of settlement
Mon 28-Jul-08 03:08 PM

Mon 28-Jul-08 03:09 PM by Victoria Todd

Hi

If the overpayment was caused as a result of the bereavement (for example a delay in informing HMRC) then you could ask for a write off under the exceptional circumstances ground in COP 26.

Victoria

  

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Richard Stacey
                              

Benefits Advisor, Wiltshire Law Centre
Member since
02nd May 2008

RE: Offers of settlement
Tue 05-Aug-08 11:36 AM

Thank You Victoria

I am afiraid the overpayment predates the bereavement.

Rich

  

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Top Working Tax Credit & Child Tax Credit topic #3188First topic | Last topic