Challenging a Tax Credit decision - What are my options for challenging a Tax Credit decision?

Tax Credits will end in April 2025 and are being replaced by Universal Credit. After April 2025, you won't be able to renew or dispute a Tax Credit claim. For more details about the move to Universal Credit, please read our Universal Credit Managed Migration guide.

If you think a tax credit decision is wrong, you may be able to:

• Ask for an explanation.
• Challenge the decision.

You can challenge the decision by:

• Asking the decision to be looked at again; then
• Appealing against the decision.

This guide takes you through the options.

Tax Credit Overpayments

If you agree you were overpaid but it was not your fault, and you should not have to pay it back, you have to 'dispute' the overpayment rather than challenge it.  You can see more about disputing overpayments in our Tax Credit overpayments guide.  

However, if; HM Revenue and Customs (HMRC) say you have been overpaid, you can challenge the decision on your tax credit entitlement if:

• You think you were entitled to what you received or;
• You think that the amount of tax credits you were awarded is wrong.

Read more about challenging a decision in this guide.

If you are not sure which to do, you may want to challenge and dispute at the same time, or get advice.

Applies to: England, Northern Ireland, Scotland and Wales.

Advice: If you need advice about a benefits or tax credits decision, you should contact a benefits adviser. You can use our Find an Adviser tool to find a local one.