Fix Tax Credit System
Local MP Jon Trickett has this week called on the Chancellor to help people who have ended up in debt because of the tax credit system.
Flaws in the system meant that in the past a number of people were overpaid with the Government asking for the money back at the end of the year.
Jon wrote a strongly worded letter to the Chancellor asking him what the Government would do to help people who cannot afford to repay such debts. He has also tabled a number of parliamentary questions to find out exactly how many people in the area have been affected and how much is owed in total.
Jon’s constituent and
'The tax credit system is a good idea, it means people who work get some tax back and that really makes a difference but when it's not done right and the system doesn't work it's crippling debt for people who can’t afford to pay for it'
'The government needs to look into this - I'm sure this has happened to more people than us. When mistakes are made in the system it shouldn't be left to individuals to pay it off’
'I was astounded that this could happen - a bill of thousands when we were sure that we did everything we were supposed to do and have proof that we did it'
'I'm glad Jon is taking this up with the Chancellor - I hope the Government listens because it's a terrible position for people to be in'
Featherstone resident and one of those affected by tax credit overpayment is Mr Hill, he said:
'I do think tax credits are a good idea to give working families some money back but when it's not done right and it ends in debt for people, it's not fair and can have the total opposite effect than it was meant to'
'The Government need to do something about people who have been massively overpaid even when they tried their best to make do things properly - I am sure we're not the only family in this situation'
Jon said:
‘Tax credits are meant to help people. Landing people in debt is not what they were intended to do and whether the overpayments are because of faults in the system or the system itself not being clear or easily understandable the Government needs to make sure that people are not disadvantaged because of it’
‘Tax credits are generally not going to people who have a spare couple of thousand in their bank accounts. There are people who try to cheat the system and they should be found out and prosecuted but hard working people and families who have done their best to follow the rules should not be in this position’
