Tax Credit Payments

caz246

I called tax credits today to ask them when my next payment would be due. I was told the 3rd May and given a figure which was roughly double what I was expecting.

I returned to work full time mid March after a years maternity leave. My partner started full time work end Feb after being unemployed most of last year. Therefore our income 2011/2012 was significantly lower than 2010/2011 when we both worked full time, no kids. It will increase by over £10,000 for 2012/2013 with childcare. The guy on the phone told me I would receive the figure he quoted until next year. I queried this as the amount is double what I had worked out and I do not want to be overpaid but he said we are entitled to it. Surely this figure would be an initial award and would go down once I complete my renewal pack providing my estimate for 2012/2013? I did ask him this and he said no this is what we will get based on last years income.

Can anyone confirm what he has said? I don't believe it is right, it is a very large 4 weekly amount!

I can provide figures if it would help.

tinkerbell28

Well no he's wrong. If you are going over 10k this year. You are going over the disregard so it will be based on this years income. So you will be getting overpaid.

caz246

tinkerbell28 wrote: »

Well no he's wrong. If you are going over 10k this year. You are going over the disregard so it will be based on this years income. So you will be getting overpaid.

I knew it was incorrect, thank you. We are due a potential payment of a few grand anyway so I assume if they overpay us they will deduct it from this.

zagfles

tinkerbell28 wrote: »

Well no he's wrong. If you are going over 10k this year. You are going over the disregard so it will be based on this years income. So you will be getting overpaid.

It will be based on this year's minus £10,000 - the first £10,000 increase is disregarded. For instance if your income goes from £10,000 to £21,000 you'll be paid based on on income of £11,000.