Migrating to UK - tax creds claim and income declaration

ManicMum

Hello

If someone migrates to the UK and makes a joint tax credits claim with UK national who has worked in UK , do they declare their income from the last tax year from their previous country or would their income count as £0?

Bit of an odd one that I know!

thanks

BAFE

If the form asks what their income the previous year was then surely they have to give it. The country they got it from isn't really relevant is it?

Gawd, don't tell me we're gonna be inundated with foreign millionaires claiming uk credits now

ManicMum

No, it's nothing dodgy. When my hubby migrated we claimed and we did put his salary down (converted it at the rate at the time). I can't remember how we got on to the subject but a friend of mine worked in tax credit compliance and she said he should have put zero. I just wanted to get others' views as this would have meant the difference to us of thousands. Not that much could probably be done about it now but just wanted to check.

ta

AnxiousMum

We moved here December 2002. The tax credits system as they are now came about in April 2003 I believe. When we filed initially, we were asked for 'previous year's earnings' and as oh's earnings at the time were only from September to April (six months) that's the info that we provided for 'last year's earnings'. Mind you, as he wasn't working in Canada (hence the move to the UK) that was a true picture of our family income for the year.

We did end up with an overpayment though - as at the end of the year they said we should've given an estimate of the year's earnings. Not knowing the system, figured we'd made a mistake and paid back the overpayment.

But....didn't they change it in the last couple of years that you no longer based it on 'estimated income' for the coming year, but on 'last year's earnings' to alleviate some of the overpayment situations from people underestimating their incomes?

ManicMum

I think it has always been based on last year's earnings and the new system is to base either some of it or all of it on what you are going to earn in this tax year. I think it may be to do with the fact you could have earned a decent wage last year and entitled to the basic £500 or thereabouts but your income may have dropped this year and you could be doing with a few more tax credits! Could be totally wrong though.

TBH i find the whole tax credits system totally confusing and can't wait til it is replaced by something more user friendly.