Thanks for your question - the full Q & A thread will be listed under MY Questions
But for ease - my response was
Thanks for the additional information
Can you advise under what conditions that HMRC state that the money is owed back?
I am afraid the NIL statement does not in itself negate the overpayment position, It just means at the time the year was signed off, that it was believed nothing was owed either way, but clearly there had been an issue since this time, and it may have something to do with the leaving the UK.
This is because if he family moved abroad, then they only would have continuted to qualify for tax credits for 8 weeks following the departure date. But you advise that this relates to more than 5 years ago and they have only lived abroad for just under 3 years, so it may not be for this. so could you advise further.
The property could be at risk I am sorry to say, but much is dependant on
1) Whether any payments towards this are going to be made (if its correct that the overpayment still exists)
2) Whether the overpayment HMRC state arises is correct -
3) The age of the disputed amount - which I dd not realise this was a 5 year old issue
But until I know how this arose I cannot really comment further
There have been no other issues since the nil statement was received i.e.my daughter and her husband were overpaid in the first instance and then to compensate for the overpayment, although they still qualified for the child tax credit they did not receive any and eventually they received the nil statement. There have been no other issues since. I can't see why leaving the UK has anything to do with this.
Obviously my daughter and her husband do not wish to make any payments towards this as they don't believe they owe anything and the taxman consistently ignores the nil statement although my daughter encloses a copy with every letter she has sent back and has repeatedly asked the taxman to refer as to why they are being asked for money when they have received the nil statement.
But I need to know why HMRC feel the overpayment has arisen and why this is now over 5 years old - and why they are still pursuing it.
I agree them leaving the UK may have nothing to do with it (other than a claim stops when a family leaves the UK) but as they only left the UK 3 years ago and this relates to over 5 years ago -
But I am sure you can appreciate, you have not given me anything to go on to help further - I cannot comment without knowing how this has happened and from HMRCS perspective then why....because for all I know they do owe the money - have a NIL statement negates nothing I am afraid
It could be HMRC stated they were overpaid, then said they were not, then realised they were in fact right the first time -
But without knowing the sequence of events I cannot comment
I will get my daughter to either give my the exact dates and sequences of events or allow her to use Trevor's log in to contact you directly.
That would be wonderful