Tax Rebate

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Seahorse

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Post by Seahorse » Mon Aug 04, 2008 9:59 am
Hi All

Are tax rebates classed as extra earnings? All part time workers will receive one in January for loss of earnings when the 10p tax rate was scrapped. Surely this is money you should have had all last year and should not be classed as additional.

I have asked my IP but I am still awaiting their reply.
 
 

Seahorse

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Post by Seahorse » Mon Aug 04, 2008 10:02 am
Sorry it will be paid in September not January [:)]
 
 

MelanieGiles

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Post by MelanieGiles » Mon Aug 04, 2008 10:12 am
I am afraid that if you are in an IVA they will form part of the additional earnings, but if you have the 10% threshold as part of your own arrangement you can keep that portion of the increase, plus your 50% share.
Regards, Melanie Giles, Insolvency Practitioner
 
 

pjackson

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Post by pjackson » Mon Aug 04, 2008 12:34 pm
I do know some IPs who consider that a tax rebate is after acquired property and demand that all of the money is payable into the IVA. From that point of view it is worth checking the proposal and any modifications as well as speaking to your Supervisor. I think it should be income as in effect you have been lower paid (by deducting too much tax) than you should have.
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Seahorse

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Post by Seahorse » Mon Aug 04, 2008 1:25 pm
Many thanks for your advice.

I do accept that any extra money should be paid into the IVA, afterall you do owe the money but whenever we do our income and expenditure, we are always in negative figures and they IP never takes this into account.

It should also go both ways, if you earn more than expected, you should pay half and if you earn less, the same should apply but it never does!!!
 
 

MelanieGiles

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Post by MelanieGiles » Mon Aug 04, 2008 2:32 pm
Well your IP should take that into account. Extra money should firstly be set off against negative disposable income - why do some members of my professional continue to make people's lives difficult?
Regards, Melanie Giles, Insolvency Practitioner
 
 

Seahorse

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Post by Seahorse » Mon Aug 04, 2008 3:44 pm
It is very fustrating. I do find our IP's quite helpful but it is so difficult to get hold of them or to get a staight answer.
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