can someone explain tax credits?

sarcycyril

hi,

I have just got married and we are thinking of starting a family, so i have been looking on the direct gov website in relation to maternity pay etc.

i am self employed so looks like i would receive maternity allowance, my husband is employed. I just want someone to explain tax credits? is this money you get off of your tax bill each month or they give you the money?

if someone can explain it to me in simple terms that would be great because im getting confused!

thanks

shell_542

It's an amount of money, they assess on your personal circumstances ... your hours of work, your income, the age of the children, how many you have ... and it is paid into your bank account (normally) monthly.

It is very easy to be overpaid by them so you have to keep them up to date with all changes in circumstances and ensure you have evidence in the form of paper work they send out to you. If you don't receive an updated award after changing your circumstances over the phone, chances are the change hasn't been done and you will be overpaid (or underpaid) so make sure you get confirmation.

Hope that's some help.

brians_daughter

You question would be best placed in the benefits board, this board mainly looks at CSA etc.

In response to your question it is a payment from the g'ment for families with kids.

You could use 'entitled to' or the HMRC Tax Credits calcluator and get an idea if you would qualify.

You would have to say you obviously had a child to get a figure. So you could put your details in and for calculation purposes say you have a child (if the child is under 12 months you do get extra so maybe run it twice, once with child under 12m and once with a fictional child over 12months)

You will also get child benefit that is payable to all parents with children in UK. This is around £20 per week, income is irrespective.

HTH, as i say post on benefit board for more answers

DX2

brians_daughter wrote: »

You question would be best placed in the benefits board,

It's there also.