Tax Credits Renewal

gabby71

Hi

I have been on tax credits since October so have never had a renewal - will my amount for the tax year 2010/11 be based on what I earned in 2009/10 or will it be based on what I estimate my earnings to be this year?

thanks

Gab

mossy

Well Gab that's a good question because until today I would have said that it would be based on what you estimate your earnings to be. However when I was speaking to the tax credit peeps the lovely lady who was helping me said that my 2010-11 income was based on my 2009-10 figures even though my estimated earnings that I've given them are higher than what we earn't last year.

My situation is that my income for 2009-10 was is lower than what I've estimated for 2010-11. However I don't know if it's the same if you earn't a lot in 2009-10 but in 2010-11 you've had a change in your income which will mean you'll earn less than before.

The tax credit helpline peeps are really helpful. You could always phone them up and ask. Have you had you're renewal yet? If you haven't they might not be able to tell you exact figures, but it might be worth asking them.

tornadofromhell

gabby71 wrote: »

Hi

I have been on tax credits since October so have never had a renewal - will my amount for the tax year 2010/11 be based on what I earned in 2009/10 or will it be based on what I estimate my earnings to be this year?

thanks

Gab

your award of tax credits for 10/11 is based on 09/10 income, if your income in 10/11 is lower than 09/10 when you give this years estimate the system overrides the 09/10 income figures and uses the lower 10/11 figures-- so a higher award, unless your on max award to begin with. example---- 09/10 earned £9000,10/11 award based on£9000, callto helpline, 10/11 estimated income £7000, ie gone down, 10/11 award goes to award based on £7000. now the next bit is increase in income,,, 09/10 income £9000, 10/11 award based on £9000,,, you tell helpline that this year you are inline to earn £14000,,,,, your10/11 award remains based on £9000, however your 11/12 award will be based on £14000.

CazzR10

Its always based on the previous year income.

gabby71

Hi All

Not had my renewal pack yet, I guess it will be through soon....

Thanks for answering

Gab

mossy

Gab, it will be any time from April to June that the renewal pack comes through.