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Topsoil or tilling for levelling old, compacted lawn?

Our garden has a ~10x10m patch of old lawn which has a few issues. There is lots of thatch, quite a few weeds, bare spots, parts of it have been compacted by building work. It is also quite bumpy, again partly due to previous excavation and building work and partially because we removed a concrete path that was going straight through it, leaving us with a trench about 10cm deep.
To fix this I was considering renting a tiller to break up all the old lawn, levelling everything with a rake and the reseeding it. We also had a couple of companies round to take a look and they instead advised just to buy a big load of topsoil to level everything. This feels a bit like covering up all the other issues though.
I don't have much experience so was hoping someone here could advise on what the best course of action would be. Thank you!
To fix this I was considering renting a tiller to break up all the old lawn, levelling everything with a rake and the reseeding it. We also had a couple of companies round to take a look and they instead advised just to buy a big load of topsoil to level everything. This feels a bit like covering up all the other issues though.
I don't have much experience so was hoping someone here could advise on what the best course of action would be. Thank you!
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As you can probably tell I am no expert, but if you post some pics others will be able to help.
* Would you agree with what steephill said? I read somewhere to skip that and just mix in the cut up turf to keep nutrients but then I guess there shouldn't be much nutrients going to waste anyway if the turf cutter is set to the right depth.
* What would be a good time of year to do this? We're in Kent and I was thinking of doing it this month.