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HELP - TAX Credits reduction in income loosing money!!

HELP

Rang tax credits last week to tell them of my partners drop in wages of over £2500 as he has had to drop hours to care for our AS son and they sent the reward notice out today stating our payments have dropped !!!!?????

I phoned them and just before promising to pop me on hold and get back to me (and then putting me into a loop system for JSA) they advised me that they add the £2500 on to the amount of wages we get this year to work out our allowances. This means we get nothing extra at a time when we REALLY need it - I haven't had a pay-rise in 4 yrs and my partner has had to drop his hours cause of childcare etc. We've already lost £300 pm this year because I was on maternity leave 2 years ago.

The system is really screwed up - its a way for the government to hold onto the money they say we NEED to be able to live on. Why? Is this so they get the interest on that money?? If I owed that to a CC company, they'd charge me 30+% APR...

Is there anything I can do to get more of what the letter states I am entitled to? Hardship payments etc? Our wages are definitely NOT going to go up in the next year and we cant cope for 11 months on over £100 less than they have stated we NEED.

Comments

  • If your partners hours have dropped, is it possible that they've dropped below the hourly threshold for Working Tax Credits, so all you will be entitled to is the child tax credit?
  • McKneff
    McKneff Posts: 38,857 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    If you pop up an SOA, we can maybe help you budget better.
    make the most of it, we are only here for the weekend.
    and we will never, ever return.
  • Icequeen99
    Icequeen99 Posts: 3,775 Forumite
    fariefarie wrote: »
    HELP

    Rang tax credits last week to tell them of my partners drop in wages of over £2500 as he has had to drop hours to care for our AS son and they sent the reward notice out today stating our payments have dropped !!!!?????

    I phoned them and just before promising to pop me on hold and get back to me (and then putting me into a loop system for JSA) they advised me that they add the £2500 on to the amount of wages we get this year to work out our allowances. This means we get nothing extra at a time when we REALLY need it - I haven't had a pay-rise in 4 yrs and my partner has had to drop his hours cause of childcare etc. We've already lost £300 pm this year because I was on maternity leave 2 years ago.

    The system is really screwed up - its a way for the government to hold onto the money they say we NEED to be able to live on. Why? Is this so they get the interest on that money?? If I owed that to a CC company, they'd charge me 30+% APR...

    Is there anything I can do to get more of what the letter states I am entitled to? Hardship payments etc? Our wages are definitely NOT going to go up in the next year and we cant cope for 11 months on over £100 less than they have stated we NEED.

    Unfortunately the first £2,500 of the fall is ignored.

    However, you shouldn't get less money as a result. If that has happened then it suggests something else has changed.

    How many hours do you each work now?

    IQ
  • fariefarie
    fariefarie Posts: 16 Forumite
    Tenth Anniversary 10 Posts Combo Breaker
    Thanks for replies -

    We dont get working tax credit at all as both of us work part time (Different hours) and earn over threshold. Thanks tho pinky.
    Together we work 37 hrs.


    After being on the phone with them for (much) longer, I have worked out that they make 13 payments and so have just given us a lump sum of £180 instead of making our payments higher. Still the figure they were paying us before doesn't add up as that must have been worked out with an entirely different figure than our wages!

    So we're stuck.

    Hoping that we can eventually claim DLA for my son who is being diagnosed at the moment for ADHD and aspergers - the diagnosis has been going on for 2.5 yrs and still ongoing.. He's been suffering from symptoms since he was 6 and unfortunately the school told us he was just a naughty boy - we were just treated like it was our fault. We've had to push the diagnosis ourself as its ruining his life (and ours).
    Tax credits advised if we get that, we could be entitled to more tax credits but knowing our luck we wouldn't qualify :mad:
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