tax credit help needed please

evie-mays-mum

swiched to another post

System

1 - you will not be in trouble but you will have created an overpayment on your old joint claim as the payments you have been receiving are based on a household that no longer exists.

2 - you are due a payment in 2 weeks on your old claim. There is no guarantee that your new claim will be processed in time for a payment to come out then and besides you will be making a brand new claim and the payment schedule may not necessarily match up to your previous because they are 2 separate claims.

3 - yes you will be eligible for a back payment to the day after you separated but you might be better setting it aside to repay the overpayment you have created by failing to tell TCO that your circumstances had changed.

karenx

You cant close a joint claim if theres an overpayment till its paid back. So this will need to be done first and then get it closed and apply again as a single person. The payment in 2 weeks will stop as you wont be entitled to all of it anyway.

kaylzbob

karenx wrote: »

You cant close a joint claim if theres an overpayment till its paid back. So this will need to be done first and then get it closed and apply again as a single person. The payment in 2 weeks will stop as you wont be entitled to all of it anyway.

This is TOTALLY incorrect, the longer the claim stays open, the larger the overpayment is!! The claim needs to be closed as soo ans possible, a single claim will be set up and a letter will be issued regarding the overpayment, then a payment plan needs to be set up to pay the overpayment back!!

bestpud

kaylzbob wrote: »

This is TOTALLY incorrect, the longer the claim stays open, the larger the overpayment is!! The claim needs to be closed as soo ans possible, a single claim will be set up and a letter will be issued regarding the overpayment, then a payment plan needs to be set up to pay the overpayment back!!

I agree - you certainly can close down a joint claim with an overpayment and would be stupid not to!

nikolesumers

yes i agree, your joint claim can be closed and a new claim made for yourself if your working pt, whatever you owe from the overpayment will be calculated and taken from your new claim

evie-mays-mum

swiched to another post

bestpud

dmshbp wrote: »

Thankyou so much for all of your answers.the tax credit roundabout is a hard one to jump off as I really can not afford to be without my next payment with no idea when my new claim will be set up and paid.i understand that the longer it goes on,the more i will owe but if i leave it until after my next payment to advise them then will i forefit any back payment as it will be the start of a new tax year (april-april)
thanks again to all who have helped

You only have four weeks to notify them of changes and may have your claim closed and have to repay the entire year if you don't do this!

When I switched from a joint to single claim, I received a payment within a week - it certainly wasn't ages.

System

nikolesumers wrote: »

yes i agree, your joint claim can be closed and a new claim made for yourself if your working pt, whatever you owe from the overpayment will be calculated and taken from your new claim

No it can't they are 2 entirely separate claims and you and your ex will have to negotiate time to pay any overpayment left on your old joint claim.
Also you can only claim as a single part-time worker if you also have children on the claim or you fulfill disability criteria.

bestpud wrote: »

You only have four weeks to notify them of changes and may have your claim closed and have to repay the entire year if you don't do this!

I don't know where you got this. OP read here - http://www.hmrc.gov.uk/taxcredits/keep-up-to-date/changes-affect/not-reported-change.htm

bestpud

Pam17 wrote: »

I don't know where you got this. OP read here - http://www.hmrc.gov.uk/taxcredits/keep-up-to-date/changes-affect/not-reported-change.htm

Ok, thanks for pointing that out; I thought it was the same as not renewing on time.

bestpud

dmshbp wrote: »

thanks again everyone,from what i understand i may be due more tax credits in my current situation than i was before so im hoping that what i owe will be mimimal

Everything you are paid from your joint award after you split is an overpayment - all of it!

You should get the new award backdated if you ask but you will have to use that money to pay off the other award yourself. It will not be done automatically!

Usually it would be backdated to the day you claim.

Also, put it to one side as it may be a few months before the chase you for the overpayment - don't assume they've forgotten because they won't have.

I really can't understand why you are stalling...?