Tax credits - reduction in income interview?

leamingtonspaceman

I've just phoned tax credits and answered all their security questions...and was told my identity could not be verified? My local office just called and I have to go for an interview tomorrow???

My question is this. I am currently working. I have a tax credit claim in place. This began in 2008 when I started work. I had not been working for some years and was on a low wage. I then got a new job last year and it was a £5k rise in salary. I have not received any tax credit payments for a year now.

My current job is coming to an end and I have been offered another job but it is £5k less than what I earn now.

I'm wanting to know if I would receive any tax credits given the drop in salary?

Also, I was getting the disability element and help with prescription costs but that seems to have stopped...don't you get that continuously?

Thanks if you can help?

falc_2

Sympathies! I think they are trying to weed out as many people as they can. I got a letter today asking me to prove my childcare for last year. There is a calculator on one of the government websites which should tell you how much you are eligible for.

May I say if anyone from the government is reading this that I think the whole tax credits system is deeply flawed and needs sorting out?!

Also, does anyone know, does it say anywhere that I am supposed to have kept receipts and contracts for childcare? I can't find any note of this in my notes anywhere. Most childcare is paid in cash, and receipts are rarely provided. I am trying to get my provider to provide a receipt but they are unlikely to be able to do it, certainly not within 2 weeks as requested. Any advice on this gratefully received as I am feeling quite stressed about not being able to prove how much I owe.

sorryitsme

falc wrote: »

Sympathies! I think they are trying to weed out as many people as they can. I got a letter today asking me to prove my childcare for last year. There is a calculator on one of the government websites which should tell you how much you are eligible for.

May I say if anyone from the government is reading this that I think the whole tax credits system is deeply flawed and needs sorting out?!

Also, does anyone know, does it say anywhere that I am supposed to have kept receipts and contracts for childcare? I can't find any note of this in my notes anywhere. Most childcare is paid in cash, and receipts are rarely provided. I am trying to get my provider to provide a receipt but they are unlikely to be able to do it, certainly not within 2 weeks as requested. Any advice on this gratefully received as I am feeling quite stressed about not being able to prove how much I owe.

Hi one of the mums at my daughters nursery had one of these letters and she didn't keep the receipts, the manager wrote a letter outlining how much had been paid. TCO then contacted her to verbally verify the amount and everything was ok.

They appear to be checking all claims,my daughters nursery have also been called several times to verify childcare and in fact two parents have been claiming for 3 years even though their children no longer attend. The fees are £240 per week!

leamingtonspaceman

I am appreciative for your replies, however, can anyone answer my questions in my original post?

System

leamingtonspaceman wrote: »

I've just phoned tax credits and answered all their security questions...and was told my identity could not be verified? My local office just called and I have to go for an interview tomorrow???

My question is this. I am currently working. I have a tax credit claim in place. This began in 2008 when I started work. I had not been working for some years and was on a low wage. I then got a new job last year and it was a £5k rise in salary. I have not received any tax credit payments for a year now.

My current job is coming to an end and I have been offered another job but it is £5k less than what I earn now.

I'm wanting to know if I would receive any tax credits given the drop in salary?

Also, I was getting the disability element and help with prescription costs but that seems to have stopped...don't you get that continuously?

Thanks if you can help?

Your entitlement depends on many things including your total income. You haven't said if there are any children on your current claim or if it is a single or joint claim. Generally entitlement to WTC tapers out at around £15000 of household income if there is no disability element included so if a reduction of £5000 takes you below £15000 then you might be entitled to something. This is guesswork though until you provide more details about your circumstances.

You have to go to the enquiry centre to set up additional security for your protection to ensure no-one else calls TCO and pretends to be you and changes your claim maliciously.

System

sorryitsme wrote: »

Hi one of the mums at my daughters nursery had one of these letters and she didn't keep the receipts, the manager wrote a letter outlining how much had been paid. TCO then contacted her to verbally verify the amount and everything was ok.

They appear to be checking all claims,my daughters nursery have also been called several times to verify childcare and in fact two parents have been claiming for 3 years even though their children no longer attend. The fees are £240 per week!

TCO compliance department are now checking up on all high value components of tax credit claims including childcare, new children added to a claim who are older than 3 months and disability. They are catching many fraudulents claimants and saving taxpayers money. In checking childcare providers they are also catching those providers who didn't bother to register as self-employed and so have not declared their income to HMRC.

In answer to falc, I don't think it says anywhere that you have to keep receipts or records for childcare. However given that Tax credits are paid from the public purse I would think that along with proving your total income to TCO it should not come as a surprise to be expected to prove that you actually paid the childcare costs out.

Also why pay childcare costs in cash and fail to ask for a receipt. You leave yourself open to unscrupulous childcare providers who deny receiving any money from you and who threaten to stop taking in your child until you pay them money you know you've already given them. Paying by cheque at least gives you added protection.

FBaby

sorryitsme, what kind of provider do you have that hasn't provided you with a contract, won't give you receipts when you pay cash and can't provide you a note stating how much you have paid them since you have used their services??? WTC are supposed to only fund approved childcare and I can't imagine one with such pratice to be approved indeed, or if they are, this needs to be brought to the attention of OFSTED as this is serious malpractice.

sorryitsme

FBaby wrote: »

sorryitsme, what kind of provider do you have that hasn't provided you with a contract, won't give you receipts when you pay cash and can't provide you a note stating how much you have paid them since you have used their services??? WTC are supposed to only fund approved childcare and I can't imagine one with such pratice to be approved indeed, or if they are, this needs to be brought to the attention of OFSTED as this is serious malpractice.

My childcare provider does provide receipts,I think you are confusing me with the previous poster:p. I stated a parent did not keep her receipts aside so when TCO asked for copies she had to ask the nursery manager for copies. The manager didn't have the time to go through all her records so wrote a letter which was fine with TCO. A week or so later they called the manager to verify the letter. My childcare is approved by ofsted.