A tenant who is a single parent had to give yp work due to ill health. Se is now in receipt of IS and has an overpayment of WTC.As she was in receiept of HB when working and WTC was included in her Hb calc. Can we ask for a review of her income details with the hope that HB cannot include the amount she has to pay back to WTC. I can't find anaything that refers to this.

In CH/1450/2005, Commissioner Lloyd-Davies specifically considers the issue of whether overpaid tax credits count as income - regretfully from a client/adviser point of view not very positively.

A summary of CH/1450/2005 is available in the briefcase area of rightsnet (together with a link to the full decision available on the commissioners website @ www.osscsc.gov.uk).

Ken,

Thank you for the information, it does not seem fair that if you become to ill to work, you lose out, but if you can carry on working you benefit from the overpayment recovery, but hey what as fair got to do with it.

Dorothy