Hi

I have client who has tax credit overpayment because he was being paid WTC Severe disability element since the tax credit (TC) was introduced.

The client is getting DLA high Mobility only and states when he filled in the original TC form it asked are you disabled? It did not state what DLA rate allowed him to qualify.

1. Does anyone know what the wording of the disability question on the original form was? i.e.. did it asked what rate of DLA the person was getting etc.

2- The current award letters state the level of DLA that TC believe the person is getting, does any one know whether this has always been the case as I have heard that in the past it only stated that the person was disabled.



If the award notices used to only state that the person was disabled would it be possible to argue the client could not have realised that they were being overpaid.

Can anyone help please??

We have seen a couple of cases where the same thing has happened. I have had a look through my cases files for some 2003 forms and in answer to your questions:

1. I have an application form that was signed March 2003. Question 1.11 says 'Put X in the box if you are disabled' and 1.12 says "put X in the box if you receive Disability Living Allowance (Highest Care Component) or Attendance Allowance (Higher Rate)"

You can request a copy of the claimant's original form from the Data Protection Unit if he says this is not the case.

2. The Guidance notes issued with the form for 2003 set out how to qualify for the disability element under 1.11

Under 1.12 they are headed "Disability Living Allowance (Highest Care Component) or Attendance Allowance (Higher Rate)....if you, or your partner if you have one, get one of these benefits and you qualify for Working Tax Credit, you can get the severe disability element of the tax credit. The person who gets one of these benefits doe snot have to be the person working"

3. In terms of the award notice the earliest one I have that includes a SDE is dated April 2004. ON this under About your Tax Credits on Page 2 it says "You received Highest Care Component of Disabilty Living Allowance or Attendance Allowance Higher Amount". I will need to look further for a notice from April 2003 to see what it says.

As I say we have seen a couple of examples of this happening and it really seems to be that people have got confused with the higher rate mobility and higher rate care.

It is an issue that I have raised through a sub group of the Tax Credit Consultation main group. If you do come across a notice that does not have mention of the higher rate care then it would certainly make a plausible argument against the overpayment. We would also be interested if you find any evidence of this.

My email is victoriatodd28@yahoo.co.uk - if you need any further help/information pursuing the overpayment or if you find any useful evidence re the award notice then dont hesitate to contact me.

Victoria