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Child Tax Credits question

Hi

I applied for Child Tax Credits last week and i have had word back that me and my family are entitled to almost 2 grand split over the year, this was based on 2003-2004s figure that i earned 19,500.

after reading this board i'm a bit worried though :-/

i have started a new job and expect to make about 25grand a year, this year with overtime...........are tax credits based on last years figure or this year coz i dont want to get to a situation where, come next April i owe the two grand back to the Inland Revenue
«1

Replies

  • FranFran Forumite
    11.3K Posts
    Part of the Furniture Combo Breaker
    Forumite
    Zonecrew -

    You should inform Inland Revenue of the increase in wages (they say you should tell them of an increase or decrease of £2,500 or more). They should adjust your figures accordingly for this year.
    Torgwen.......... :) ...........
  • jellyheadjellyhead Forumite
    21.6K Posts
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    hi, i don't know all of the rules regarding these credits, but with a total family income of 24 grand we are entitled to £545 for the year, nothing more. if it's the same for you, then yes, you'd be faced with a large bill from them at the end of the year.
    52% tight
  • FranFran Forumite
    11.3K Posts
    Part of the Furniture Combo Breaker
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    It should be ok if Inland Revenue have been informed and they adjust the figures for this year. It's worth checking that they have done it even if they say they will (if you see what I mean!)
    Torgwen.......... :) ...........
  • It should be ok if Inland Revenue have been informed and they adjust the figures for this year. It's worth checking that they have done it even if they say they will (if you see what I mean!)
    Good way to do this is by registering for the online account service here Tax Credits Online
    My weight loss following Doktor Dahlqvist' Dietary Program
    Start 23rd Jan 2008 14st 9lbs Current 10st 12lbs
  • zonecrewzonecrew Forumite
    105 Posts
    thanks for the advice, i'll inform them

    i wonder how many people dont realise this and end up oweing money back to them, before i found this site i thought they couldnt claim overpayments back as it was based on how much you earned the previous tax year
  • They can only claim £10 a week back from you....they won't bill you for 2 grand at the end of they year they'll just write to you saying you owe us X ammount it will be deducted from your weekly ammount for X ammount of weeks.

    I'm sure thats the way they take it back
  • Yeh, you will only have to pay back so much a month if you were overpaid the previous year. I didn't understand the whole process and we qualified because I was on maternity leave so was on a reduced income. Of course this year upon returning to work was different and it seems we owed them. It means that we won't get any tax credits until February next year.
  • Paul1_2Paul1_2 Forumite
    163 Posts
    I have rather a strange problem in that despite countless letters and phone calls the Infernal Revenue will not stop sending money to my account.

    Last year despite telling them that we were no longer entitled to the payments on numerous occasions, they wrote and told us we were to the end of the tax year.

    New tax year, payments continue. More letters sent and complaints made, each letter takes 3+ months to get a reply. The latest had in red bold text, "stop payments we are not entitled to them as we earn too much". The reply thanked us for our letter and asked us to let them know if there were any changes.

    I suppose my question is does anyone know a way to make them stop, given Banks cannot block deposits to an account? ???

    My last hope is Martins tip with First Direct, have given them this new account number as we are closing the account. Fingers crossed this might work.

    I suppose the sad thing is that we have read about families in real hardship because they could not get the tax credit and meanwhile we cannot stop it. As a tax payer you have to wonder how many others are receiving money they are not entitled too.

    Not sure if this should be on the rant board, but feeling a bit better now ;D

    Paul1 8)
    Smile and be happy, things can usually get worse!
  • Ringing the Tax Credit Helpline Late Evening or Sundays is quite a good time to get through and see if they can sort it.
    Working Tax Credit/Child Tax Credit Helpline
    Open from 8am - 8pm seven days a week
    In Great Britain 0845 300 3900 (textphone 0845 300 3909 )
    You can always ask to speak to a supervisor if you feel they haven't got to grips with the problem.

    Mybe also worth registering for the online service and then you can see if they have done what they say they will do. Tax Credit Online Registration

    If that still doesn't work write to your MP Faxyourmp.com as they have a Tax Credit Hotline which is supposed to get quicker action.
    My weight loss following Doktor Dahlqvist' Dietary Program
    Start 23rd Jan 2008 14st 9lbs Current 10st 12lbs
  • Paul1_2Paul1_2 Forumite
    163 Posts
    Hi Ted,

    Thanks for the reply, we have tried the helpline again and again, spoke to several supervisors, used the formal complaints procedure (an experience in itself!) and written to the Paymaster General after she was quoted saying how successful the Tax Credit has been!

    Still the money comes ::)

    We both work for public bodies and complaints have to be acknowledged within 48 hours, this shower take 13 weeks to even do this, no wonder they won't stop.

    We'll try our MP, failing that it's emigration or Martin putting us in touch with Jeremy Vine.

    Paul1 8)
    Smile and be happy, things can usually get worse!
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