Is maternity allowance considered income and included on tax credit award notice?

SandA

Hello

Is maternity allowance classed as income? and will it be on my tax credit notice award letter?

The reason i ask is, i'm wanting to do an access course, and the fees are waived for anyone with an income lower then £15,000 for the previous year. (alone or couple).

I know that maternity allowance is an exemption with regards to tax credits, but don't know if it will still be on the award letter, and be included in our joint income?

The reason I ask is, over the year, my maternity allowance equates to around £3700 (I only get 95 per week, started in May), my income from April to May was £700.

My partners income from April 12/13 will be around £12,000 (I'm wanting to go college in Sept 13 so the award letter they would want is 12/13. )

So when it comes to renewing tax credits and inputting our income, would i input 700 or 4400 (this is my income from work before leave + maternity allowance).. therefore, on the tax credit award notice (i ask this because this is what i have to show the college) would our income be £12,700 or £16400?

Also, when do you get 'new' tax credit award letters, like when do you input your income for the year? I presume i'd get 12/13 award notice letter in April 2013? I recently just seen a lot of adverts about tax credits a few weeks back, so is the whole renewal process in June/July time? I would have 12/13 tax credit notice award by September 2013 wouldn't I? sorry this is simple stuff but i really have no clue about any of it!

Sorry this sounds so silly but i really have my heart set on studying and we would really struggle to afford the over thousand pound fees, especially considering its unlikely my work will change my hours so I wont be able to return (I only worked 10 hours a week anyway, so income would be very little difference).

I hope this makes sense

Thanks

pinky2681

hi, i thought MA was about £120-£130ish a week? When i filled out my TC form it said do not count the first £100 per week, so i just counted th £20-£30 for 39 weeks and then would add on any income from work.

For example.

Earned £700 before Mat leave
Earned £125 MA for 39 weeks

£125 (weekly MA) -100 (what tax credits allow you) = 25
£25 x 39 = £975+£700 (earnings before mat) = £1675 (total earnings).

Thats how i did it from memory and it would show as my earnings s 1675 on tc forms

SandA

Hi

Your right it is that amount or 90% of your average earnings (whichever is less) in my case was £95 unfortunately lol.

Oh thats great then, maybe theres hope I will be able to go!

Thanks

lilymay1

Maternity allowance is not considered income for tax credit purposes. So whether you get £10 a week, or £130 a week all of it is disregarded.

Maternity pay, however, is slightly different. The first £100 is disregarded but the rest included. Not that that is relevant to you.

You should have received you're renewal notice sometime between April and July 2013.