what would you do ?

jane130

We have just had our tax credits renewal and have been awarded the same as last year . DH had to change his job halfway through last year and his income dropped due to doing less hours , this years income will be about £4000 less than last year which would almost double the amount of working tax credits he gets .

my dilema is that right now how it is we get about half of our rent and council tax paid , if we tell tax credits that this years income is going to be lower we will get a lot less HB and CTB/

so should we leave it as it is getting the same WTC & CTC as last year and get HB and CTB and then get a nice lump sum when we send in our renewal next year

or

estimate this years earning now increase the WTC and loose most of our HB & CTB.

would I be breaking any law by not notifying tax credits that his income will be less ?

any advice would be very welcome .
thanks in advance

iamchrisli

The change of hours is very important for WTC, as if hours reduced below to 30hours. If you are over 25 and work less than 30 hours, you might not entitled to WTC anyway. So it would be seriously overpayment for next year.

As income drops, your HB and CTB might actually go up.

About TC changes:
http://www.hmrc.gov.uk/taxcredits/keep-up-to-date/changes-affect/how-when-report.htm

nottslass_2

As long as every thing else in regard to your circumstances is correct ie hours worked ,and housing benefits have the correct information I don't believe you are doing anything wrong.