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A single mum has had her benefits stopped because the taxman believe she is in a relationship – with her local SHOP.

Debbie Balandis, 40, was shocked to receive a letter from HMRC saying her £140-a-week child tax credits would be stopped because she had a new man, the Daily Record reports.

Read more: Tax credits win for the Tories means 8million families will lose out

She immediately called the tax office and was told activity on her bank account showed a Martin McColl – the trading name for her local newsagent chain RS McColl.

The mum-of-two, from Glagow, tried to explain that she collects benefits from the post office at her local RS McColl and that was why the name appeared on her bank statements.

But she was told her weekly payments were being stopped until she can prove Martin McColl isn’t her live-in lover.

(Image: Daily Record)

Debbie, who relies on tax credit to look after her 13-year-old son, said: “I couldn’t believe it when I got the letter to say my payments were being stopped so I called them up to see what the mix-up had been.

“I expected it to be sorted over the phone but instead I was told they knew I had a new partner.

“Shocked, I asked them who that was – because I’ve not been in a relationship for 10 years.

“The call handler said they had looked through my benefit payments and asked me who Mr McColl was?

“At first I was surprised – I’d never heard of anyone with that name – but suddenly I realised it was the name of the shop where I was withdrawing my money.

“I begged HMRC not to leave me without a penny all because of a fictitious boyfriend.

“But they didn’t believe me and have now stopped my benefits for supposedly having an affair with the post office.”

(Image: Daily Record)

Debbie, who lives on £80 a fortnight jobseeker’s allowance, added: “I can’t believe the way they treated me – they made the mistake but I’m the one left to suffer.

“I called HMRC and spent £19 on hold waiting to speak to someone – money I can’t afford. My son has disabilities and he lives for his weekly horse-riding which really helps him.

“Now I have to disappoint him and say I can’t pay for it.

“HMRC say I’ve to write to them again but I’m afraid if I get something wrong it will hold up the process even longer.”

An HMRC spokesman said: “HMRC does not comment on identifiable taxpayers.

“When we have reason to believe someone’s circumstances may have changed, we write to them and allow 30 days for a reply. If we don’t hear anything, payments are suspended.

“Payments will be reinstated as soon as people have provided us with information requested and it has been reviewed.”

RS McColl declined to comment on the tax credit mix-up.