Waste

This post on the Working Family Tax Credits site demonstrates how the bureaucracy of HMRC wastes the time, effort and money of both the taxpayer and HMRC:

"hello, i would be grateful of any info/advice on our situation, as i am really confused tax credits, if i can briefly explain a little about us,my husband is self employed, i don't work and we have 3 children, for the tax year 2006-2007 we submitted an estimate of £22,000 when my husband submitted his tax return for the year 2006-2007 we found out that he had actually earnt 26,000, as soon as i found out the correct amount that my husband had earnt which was January this year i informed them in writing, today i have had a letter from them -

thank you for telling us about your change of circumstances
unfortunately the 31 January 2008 deadline for providing information has now passed and we have already finalised your 2006-2007 tax credits award.we sent you a final decision notice on 8 February 2008 and the law does not allow us to change this.

i am really worried about this, does anyone know if we will have to pay back an over payment directly, as we missed the dead line? or would an overpayment be taken from future awards?"

Tax does have to be taxing.

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