Hi again. Nick had his IVA approved yesterday & on his list of creditors was the Inland Revenue for a tax rebate he was issued last year then told it was in error, there were a lot caught up in this at the time, it was in the media. His tax code was adjusted accordingly so that he would pay it back over the next 2 years via his weekly pay. But what occured to me is if it was in the list of creditors & I assume will be paid each month via his IVA payment then surely his tax code should revert back to normal, wont he be paying too much back to them otherwise? Who sorts this out, him or the IVA people? Thanks
As HMRC are a creditor I imagine his tax affairs will be referred to their Finance Division in Worthing, where they have a specialised IVA section. However, I understand they have a large back log there, so it might be some time!
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Right, update is I spoke to Payplan today re Nick's tax code & how to change it back to normal since the Inland Revenue will be getting the money owed to them via the IVA & they told me that Nick would have to visit the nearest Inland Revenue Office ( sadly not one here on the Isle of Wight ) taking his IVA papers & 3 payslips. There they should ammend his tax code to normal rate. Does this sound about right or could it be done over the phone AND will it be done if he has to make the trip over ?
What a palava! Turns out we do have an office, I went up there, lady took copies of Nicks IVA paperwork & a payslip.
She told me that they can refuse to change his taxcode back to normal !! but surely if that happens the Inland Revenue are on the up as in paid back via Nick AND the IVA, can that happen, surely not ??
Last edited by Summer.08 on Thu Jul 19, 2012 1:11 pm, edited 1 time in total.
I see no reason to need to visit a tax office - HMRC have a pretty good helpline which should do the trick. Our own resident HMRC expert, nepensioner, would be able to confirm this is she is around and on-line.
There should be no need to go into the office. Tel 0845 300 0627 and explain that you want your code correcting. Whoever you speak to should be able to send an internal referral to whoever is dealing with this. Do not expect immediate action though. They will correct the code and repay you what has been collected in error, eventually. Sadly the staff on the helpline are grossly overworked, but do get there in the end.
But what happens if the Inland Revenue refuse to change his tax code, can they do this & if so should I contact the IVA team to have them removed from the list of creditors?
Last edited by Summer.08 on Fri Jul 20, 2012 9:45 pm, edited 1 time in total.
If they refuse to change the code, maybe suggest that your IP writes to them, reminding them that they are in the IVA and this is already being dealt with there.
