Tax Credits - PAYE c0ck up
jgsi
Posts: 5,062
I am just letting off a little steam here........
Whoever gave the job of managing this ridiculous system to the Inland revenue needs a bullet.
2009, our income crashed due to lack of employment--- advice was to apply for tax credits.
Duly awarded.
Income details for previous tax year had been given and were accurate.
6 months later - award was withdrawn.
6 months later re instated on appeal.
6 months later current income details stated - again quite low as still not earniong a great deal.
6 months later - award re assessed and I am now in hock to HMRC until 2013 (using a payment plan) to pay back overpaid tax credits... pointless and futile to appeal.
Fumin'
Irony?
As I am working p/t and paying tax/NI at BR, I will be due a tax rebate in April 2011 to tune of £700.
Typical Britain this century.
Left hand hasnt a clue what right hand is doing. Actually has always been the case but it has just gotten worse.
If ever our income crashes again - God forbid - we are essentially disenfranchised from making any similar claims for fear of being awarded , then having it all clawed back.
If anyone reading this, works for that lot... hang your head in shame.
Now, Council Tax benefit..........Machiavelli devised that one.
Whoever gave the job of managing this ridiculous system to the Inland revenue needs a bullet.
2009, our income crashed due to lack of employment--- advice was to apply for tax credits.
Duly awarded.
Income details for previous tax year had been given and were accurate.
6 months later - award was withdrawn.
6 months later re instated on appeal.
6 months later current income details stated - again quite low as still not earniong a great deal.
6 months later - award re assessed and I am now in hock to HMRC until 2013 (using a payment plan) to pay back overpaid tax credits... pointless and futile to appeal.
Fumin'
Irony?
As I am working p/t and paying tax/NI at BR, I will be due a tax rebate in April 2011 to tune of £700.
Typical Britain this century.
Left hand hasnt a clue what right hand is doing. Actually has always been the case but it has just gotten worse.
If ever our income crashes again - God forbid - we are essentially disenfranchised from making any similar claims for fear of being awarded , then having it all clawed back.
If anyone reading this, works for that lot... hang your head in shame.
Now, Council Tax benefit..........Machiavelli devised that one.
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Comments
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The whole system is a mess.
If you take a step back and think about it, the whole idea of paying tax and then claiming it back seems ridiculous. Simplistic I know but why not charge the appropriate rate for that persons circumstances in the first place.
Not to be confused with right wing beliefs on less taxation for all though. How about everybody gets a unique tax code for their circumstances and tax is taken paye.0 -
love to see you administer that one morstar
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To be honest ALL benefits/tax credits are an honourable system to help people out but are a nightmare to administer and are usually worked out by clueless morons.
I agree that a simple tax code to reflect your situation should be implemented so that you pay to right level or tax or are award rebates.
I know this is no use to "self employed" people but hey you know how to fiddle the system already
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Ooops
Just read about the inland revenue cocking up the PAYE for this year
FFS this country couldn't arrange an orgy in a brothel :roll:0 -
pdstsp wrote:love to see you administer that one morstar
I did acknowlege that is a simplistic overview but I think it's reasonably workable.
Rather than paying tax and then being assessed for how much they give you back. I.e. 2 transactions, be assessed once and pay once, i.e. 1 transaction.
That's my basic point. Still a massive administrative job but somewhat streamlined.0 -
morstar wrote:The whole system is a mess.
If you take a step back and think about it, the whole idea of paying tax and then claiming it back seems ridiculous. Simplistic I know but why not charge the appropriate rate for that persons circumstances in the first place.
Not to be confused with right wing beliefs on less taxation for all though. How about everybody gets a unique tax code for their circumstances and tax is taken paye.
Why not just save a shedload of cash in administering a pointless system by letting people keep their own money in the first place? Tax Credits always struck me as a solution to a problem that didnt exist."In many ways, my story was that of a raging, Christ-like figure who hauled himself off the cross, looked up at the Romans with blood in his eyes and said 'My turn, sock cookers'"
@gietvangent0 -
I think we partially agree. My basic point is not to take money and then give some of it back. So yes, don't take it in the first place.disgruntledgoat wrote:morstar wrote:The whole system is a mess.
If you take a step back and think about it, the whole idea of paying tax and then claiming it back seems ridiculous. Simplistic I know but why not charge the appropriate rate for that persons circumstances in the first place.
Not to be confused with right wing beliefs on less taxation for all though. How about everybody gets a unique tax code for their circumstances and tax is taken paye.
Why not just save a shedload of cash in administering a pointless system by letting people keep their own money in the first place? Tax Credits always struck me as a solution to a problem that didnt exist.
I'm not too sure though, whether you're hinting at a more conservative low / no tax system full stop. That is a far more complex issue.0 -
I always took the cynical view on this, it is a complex system because it is all about job creation.0
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verylonglegs wrote:I always took the cynical view on this, it is a complex system because it is all about job creation.
This was my view too.
As the above poster said, whatever your views on the correct level of taxation, surely you can agree that paying an army of people to administer a system aimed at giving some back tofamilies who meet certain criteria is wasteful when you could just tax families with children less for the same effect is just adding an expensive layer of uneccesary admin"In many ways, my story was that of a raging, Christ-like figure who hauled himself off the cross, looked up at the Romans with blood in his eyes and said 'My turn, sock cookers'"
@gietvangent0 -
Three words: cash in hand.Ben
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The tax issue is a disaster, why don't they use the previous government's model contract it out to Capita, who then set up a centre in India :evil:
I had a four year investigation once, I don't know how much it cost the IR but this woman from the revenue claimed that I had over claimed rebates to the value of £15k, after the investigation it was found I had under paid by £225.0 -
It's a job-creation scheme for otherwise unemployables to create jobs for other unemployables to shove bits of paper about .
Taxed to the eyeballs, then supposed to be grateful for being given some of your own money back!
We had a similar experience, told that we were owed more, filled in more forms, told we owed £4K.
Will the Cleggerons take the bull by the horns and make taxes low & compulsary?Remember that you are an Englishman and thus have won first prize in the lottery of life.0 -
The proper cynical view is that it's all part of Gordon Brown's big scheme to make sure that more or less everyone relied on government handouts to one degree or anotherverylonglegs wrote:I always took the cynical view on this, it is a complex system because it is all about job creation.0 -
OffTheBackAdam wrote:Will the Cleggerons take the bull by the horns and make taxes compulsary?
As opposed to all the optional taxes?0 -
As opposed to all the rebates & other comlexities!bails87 wrote:OffTheBackAdam wrote:Will the Cleggerons take the bull by the horns and make taxes compulsary?
As opposed to all the optional taxes?Remember that you are an Englishman and thus have won first prize in the lottery of life.0 -
NWLondoner wrote:To be honest ALL benefits/tax credits are an honourable system to help people out but are a nightmare to administer and are usually worked out by clueless morons.
Anything related to government admin these days tends to be so complicated that I wouldn't blame the people working the system - it's like trying to juggle eggs whilst fending off angry snakes.
Except less dangerous.0 -
I was in a similar situation. Awarded WTC and CTC then had it withdrawn with a letter asking me how I was going to pay back the money. I told them that as I claimed it when I was made redundant and had now run out of JSA I couldn't pay it back. Not even got a reply from that yet. :? :roll:0
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Now with the PAYE storm gathering pace.... who was it who allowed the HMRC to get involved with the benefit system in the 1st place?
That person needs to up against a wall and shot. No mercy.
Allow the Russians to do a proper job of it.0
