Can an IVA company take your tax refund?

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gemma736

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Post by gemma736 » Fri Jun 28, 2019 12:52 pm
Can an iva company take your tax refund? Do hmrc pay the money directly to you, or to the iva company?

kallis3

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Post by kallis3 » Fri Jun 28, 2019 1:01 pm
It may well depend on how much it is but I have no idea as to whether it is sent straight to your IP. Were HMRC aware of your IVA?
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Foggy

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Post by Foggy » Fri Jun 28, 2019 2:16 pm
I imagine that they will send it to you and you then have to inform your IP and pay over at least a share, if not all of the money.

If the tax refunds represents, say, that you have been overpaying tax by £20 a month for the last 6 months, you are due a refund of £120. Now, if you had not been overpaying each month, your disposable income would have been £20 more and each IVA payment would have been £20 more. So, in fact, it is the creditors that have been short each month, not you, so the £120 is theirs.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014

MerlinL14

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Post by MerlinL14 » Fri Jun 28, 2019 3:04 pm
I had 2 Tax refunds during my IVA, both were sent directly to me as a cheque and I then paid my IVA company once I had submitted them through my Bank for clearance. Both were under £500, but my IP wanted all of the funds.
Last Payment made 04/12/14. Completion Certificate 25/7/15. IVA company GT. No Issues

recovering

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Post by recovering » Sat Jun 29, 2019 6:53 pm
I had a tax rebate during my Iva and because it was under £500 it was treated the same as a windfall ( check your agreement) I was allowed to keep it after questioning Creditfix original answer
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