Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Claimant Compliance Manual

From
HM Revenue & Customs
Updated
, see all updates

Undisclosed Partners: Recovery of Overpayments - General

Where you establish that a partner joined or left the household you must terminate the claim as of the date they became a couple or the date they separated. This is because Section 3(4)(b) says that entitlement ceases from the point they were no longer eligible to claim as a single person or as a couple. Where you established the claim was made in the wrong capacity from the outset you should terminate the claim as of the date it was made because it was never a valid claim. Although the claim must be terminated in this way we may decide not to recover all of the resulting overpayment.

Section 28(1) says where an amount of tax credits has been overpaid the Board (now Commissioners for HMRC) may decide the excess or any part of it is to be repaid.

a.  Examinations and enquiries opened on or before 16 May 2007 -

Where possible we will remit part of the overpayment so that we only recover the true loss to the public purse. CCM15510 tells you how to calculate the amount to be recovered.

b.  Examinations and enquiries settled between 17 May 2007 and 17 January 2010 -

We will consider remitting all or part of the overpayment where an incorrect claim was made as a result of a genuine error by the customer. See CCM15605 for guidance on cases opened on or after 17 May 2007.

c.  Examinations and enquiries settled on or after 18 January 2010-

Where possible we will remit all or part of the overpayment so that we only recover the true loss to the public purse. CCM15700 tells you how to calculate the amount to be recovered