Introduction
Are you struggling with a decision made by HM Revenue and Customs (HMRC) regarding your tax credits? This simple guide will help you understand how to challenge that decision and ensure you receive the support you deserve. With the process of mandatory reconsideration clearly outlined, you’ll learn what steps to take and how to gather the necessary evidence. If you need assistance along the way, Contend’s highly trained AI legal experts are here to help you navigate your legal challenges easily. Discover your rights and get the guidance you need with Contend—the Easiest Legal Help in the UK.
If you believe that a decision made by HM Revenue and Customs (HMRC) regarding your tax credits is incorrect, you have the right to ask them to review it. This process is known as a ‘mandatory reconsideration.’ Here’s how you can navigate this process step by step.
When Can You Request a Mandatory Reconsideration?
You can ask for a mandatory reconsideration in several situations, including:
- Your application for tax credits was denied.
- You think you were paid the wrong amount.
- Your tax credits have been stopped unexpectedly.
- HMRC believes you were overpaid, but you disagree.
- Your claim was backdated incorrectly.
If you are applying as a couple, only one of you needs to request the reconsideration.
Important: Before You Request a Reconsideration
Before you proceed, it’s wise to check if you have a solid case. If you’re uncertain, try Contend’s legal expert chat for guidance. Their highly trained AI legal experts will work with you to assess your situation. Keep in mind that you have only 30 days from the date on the decision letter to file your request.
Be aware that HMRC could potentially reduce your tax credits during this review process. If that happens, you might have to pay back any overpaid funds.
What If 30 Days Have Passed?
If more than 30 days have passed since the decision, you can still request a reconsideration within 13 months. However, you’ll need to provide a valid reason for the delay, such as:
- Serious illness affecting you or your family.
- The death of a close family member.
- Being out of the country.
- Postal service disruptions.
To extend the deadline, call the tax credits helpline and explain your situation. If they refuse, you can appeal their decision to an independent tribunal.
How to Gather Evidence for Your Challenge
To support your case, you’ll need to provide clear reasons and evidence explaining why the decision was incorrect. Here’s how to gather relevant evidence:
Reporting a Change in Circumstances
If your tax credits were affected by a change you reported, ensure you have proof. This could include:
- Copies of letters you sent to HMRC.
- Emails or chat transcripts from your communications with them.
- Proof of phone calls, which you can request through a subject access request.
Proving You Live Alone
If HMRC mistakenly believes you live with a partner, gather evidence to show that you live alone. This could include:
- Recent bills addressed to your name only.
- A letter from your landlord confirming your living situation.
- Your tenancy agreement.
Proving Self-Employment
If you’re self-employed, you’ll need to provide documentation to support your claim, such as:
- Profit and loss statements.
- Invoices and receipts related to your business.
- Bank statements showing your business transactions.
Submitting Your Request for Reconsideration
You can request a mandatory reconsideration by filling out a reconsideration form or by writing a letter to HMRC. Make sure to include:
- Your full name.
- Your National Insurance number.
- The date of the decision you want to challenge.
- Your reasons for believing the decision was incorrect.
Send your completed form or letter, along with supporting evidence, to the address provided in your decision letter. If you can’t find the letter, send it to:
HMRC Tax Credit Office
BX9 1ER
Using Royal Mail Signed For service is recommended, as it provides proof of postage.
What Happens Next?
Once HMRC receives your request, they may contact you for more information. Typically, it takes about 14 working days for them to make a decision, but it can take longer. If you feel the process is taking too long, you can file a complaint.
While you wait, you might be eligible for emergency assistance, such as food banks or other support services. It’s also a good idea to try Contend’s legal expert chat to see if there are additional benefits you could apply for.
You will receive a ‘mandatory reconsideration notice’ once HMRC has reviewed your case. This notice will explain their decision and any changes made to your tax credits.
What If HMRC Denies Your Request?
If HMRC does not agree to change their decision, you can appeal to an independent tribunal. The notice you receive will provide details on how to proceed with this appeal.
For more information and assistance, feel free to contact the HMRC tax credits helpline at 0345 300 3900 or visit the HMRC website for further guidance.
By following these steps, you can effectively challenge a tax credits decision and seek the support you deserve.
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