Student finance and tax credits

wobblymummy

sh1305 wrote: »

Found the following on Direct Gov:


There is nothing about how you can't claim CTC and the childcare grant.

I got told it was only the adult dependants gratn that affect tax credits - will have another look later for you.

Indeed, I did say several times to the man on the phone that we didnt get any childcare costs from Tax Credits as our daughter is 3 and just goes to pre school a few mornings using the free gov hours.

I said this about 4 times to him and he still insisted we wouldnt be able to get any help with childcare because we get child tax credits. I said there is a difference between child tax credit and the childcare element but he was insistent, I knew he was wrong and I also think its wrong they give out incorrect information. I have phoned student finance about 5 times this week and most of the time I have been given completely different answers to the same questions, its ridiculous. That is after being sat on the phone for 10 minutes at a time in a queue

I have applied for my finance but not my place at uni yet as I am hoping to do the foundation (year zero) I have to attend an open evening in a weeks time and apply then but they dont start allocating the places until after then.

divastrop

when I rand about CTC I was told that student finance is not counted as taxable income and so is not taken into consideration when calculating CTC, but I have no idea if this is correct. I have applied for the special support grant, adult dependents grant , parents learning allowance and maintenance loan as well as the childcare grant. I was advised to apply for the childcare grant through student finance as they pay more than the tax credit childcare element.
Regarding housing benefit, according to my local councils benefit calculator I would still be entitled to more than half my rent even if I got all the finance I've applied for. I have 5 children, and my husband will also be a full time student in september.

astraea

Oldernotwiser wrote: »

I would look carefully to your financial situation in the second and third years of your course. Working 16 hours alongside a degree and having 4 children may be doable in the first year but is likely to be more problematic in the later years of a Social Work degree when you start to have placements. There are only a certain number of hours in the day!

OOh i am well aware of this!! my husband will be starting his degree then and so will be able to get student finance too, this along with carefull planning should get us through the last 2 years hopefully.

wobblymummy

astraea wrote: »

OOh i am well aware of this!! my husband will be starting his degree then and so will be able to get student finance too, this along with carefull planning should get us through the last 2 years hopefully.

I take my hat off to you, you must be incredibly well organised I have two kids and I plan everything in advance or it goes belly up LOL

astraea

HI
i like to try and be as organised as possible, we shall see if it works or we will go belly up lol!!

fatbadger2

Note that section 331 of the taxes act means that your student income from grants/loans etc should be 'disregarded' by the tax people when working out your income. Make sure they know that by attaching a letter with the form explaining this.

wobblymummy

Hi

Do you have a link please I cant find one on Google ?

It says on the Tax Credit website that student loans and grants to meet the cost of tuition fees, childcare or the parents learning allowance are not taken into account.

It also says that an NHS bursary or health profession trainee is exempt.

It does not mention maintenance grants or loans so I assume these are classed as taxable when declaring income for the year, which seems a little unfair as the NHS bursaries are exempt

it says the dependents grant for a spouse/unmarried partner or dependant adult is not taken into account.

This is incredibly woolly in description does anyone have any further info

Thanks

Indie_Kid

http://www.hmrc.gov.uk/taxcredits/start/claiming/income-hours/other-income.htm

According to this link, the only student grant taken into account is adult dependants grants - so other any maitenance loans and grants are ignored.

wobblymummy

What not to include

Don't include:

• maintenance payments received from a former partner
• tax credit payments
• student loans
• student grants, except the Adult Dependant's Grant
• income your children have had, unless it's taxable in your or your partner's name
• the Christmas Bonus and the Winter Fuel Payment
• income from tax-free savings such as Individual Savings Accounts (ISAs), Personal Equity Plans (PEPs), index-linked and fixed-interest National Savings Certificates, Children's Bonus Bonds war pensions
• pensions or annuities paid to victims of Nazi persecution

student_advisor

Just to confirm, only adult dependent's grant is counted for tax credits

For housing/council tax benefits, parent's learning allowance, childcare, tuition fees & special support grant are all ignored

you can get the childcare element and CTC AND WTC, but not with the childcare element of WTC

I would recommend calling SFE to complain about getting bad advice & consistently bad info, but it's not worth the amount you'd pay on the phonecall!