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Tax credits - opinions needed !!

Hi

A close member of my extended family currently claim tax credits for childcare as she lives apart from her husband. She is intending to move back into their family home but still need the tax credits to survive. Their intention is for one of them to sleep in a caravan at the bottom of the garden even though they will live together during the day. They have confirmed on the phone to the Tax Credit office that this is a legitimate loophole but I would welcome your thoughts as I feel they could face a serious problem down the line.

Thanks.

Comments

  • Scarlett1
    Scarlett1 Posts: 6,887 Forumite
    that cant be right surely as they would be be regarded at living at the same address, so that would mean that people can claim as a lone parent and have their OH kip outside in a tent in the garden and that would be considered ok :confused: I personally think thats rubbish but who knows :o
  • cheepskate_2
    cheepskate_2 Posts: 1,669 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    it used to be that if you did not stay in the same household , that you could get away with it. About 2 years ago they changed it so that partners living in seperate households would be classed as 1 household. cant remember the exact details but this situation would be classed as 1 household, Sometimes the tax credit people do not know the correct answer to some q's that are not asked often and will answer wrongly sometimes
  • nats3006
    nats3006 Posts: 1,627 Forumite
    :eek: that cant be right!! in that case where is that tent i used to have *hmmmm*
    :D
    "Have you ever noticed that if you rearranged the letters in mother in law, they come out to Woman Hitler?":p :p:p

    If money doesn't grow on trees then why do banks have branches?:D

    Can you breathe out of your nose and mouth at the same time?:cool:

    Why don't the hairs on your arms get split ends?:mad:
  • niccy
    niccy Posts: 597 Forumite
    now i'm no solicitor, but i was reading a law book just the other night which says (i kid you not) that you can be seperated and live under the same roof:eek: , you shouldn't be having brekky together:D or sleeping in the same bed:rotfl:
    i will find the book later if you all disbelieve me:p
    living on the "edge"
  • nats3006
    nats3006 Posts: 1,627 Forumite
    niccy wrote: »
    now i'm no solicitor, but i was reading a law book just the other night which says (i kid you not) that you can be seperated and live under the same roof:eek: , you shouldn't be having brekky together:D or sleeping in the same bed:rotfl:
    i will find the book later if you all disbelieve me:p

    :eek: :eek: :eek:
    OMG is all that springs to mind!!!
    i honestly cant believe this is true!! (not saying your a liar mind :D )
    "Have you ever noticed that if you rearranged the letters in mother in law, they come out to Woman Hitler?":p :p:p

    If money doesn't grow on trees then why do banks have branches?:D

    Can you breathe out of your nose and mouth at the same time?:cool:

    Why don't the hairs on your arms get split ends?:mad:
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    This is the part that defines whether you are a couple or not
    http://www.hmrc.gov.uk/manuals/ccmmanual/CCM15080.htm

    If you use the next link at the bottom of the page, the next 3 or 4 pages are also quite interesting
    I no longer work in Council Tax Recovery but instead work as a specialist Council Tax paralegal assisting landlords and Council Tax payers with council tax disputes and valuation tribunals. My views are my own reading of the law and you should always check with the local authority in question.
  • joanneb_2
    joanneb_2 Posts: 18 Forumite
    Hi

    If you are in a relationship with a person and they are living in the caravan at he bottom of the garden then their address is the same as the person living in the house therefore they are counted as living in the same household. As the relationship is that of any couple such as doing the others laundry, food shopping for one another and cooking togther, dependant children and finances then they have to make a joint claim. Married couples dont alway sleep togther so whether he is in the same bed, bedroom next door or in a caravan at the bottom of the garden, they need to make a joint claim. It is aslo correct that married couples who live in different houses need to make a join claim if they run their day to day lives like any other married couple who live under the same roof.

    There is no such loophole! Be very careful if you are thinking of doing this.
  • niccy
    niccy Posts: 597 Forumite
    cor nats:rotfl:

    LAW WITHOUT A LAWYER BY FENTON BRESLER.

    "further more seperation does not necessarily mean you must have lived under seperate roofs.the courts accept there can be financial or economic reasons why people have to go on living under the same roof,without actually living together.it suffices if there has been two seperate households under one roof.

    Why i was reading that:confused: just picked it up,very happy married if wifey reads this:o

    anyway there yer go, not sure how old book is .just looked 2000 or whether its right
    living on the "edge"
  • dooby
    dooby Posts: 1,337 Forumite
    I'd make them give me it in writing but it's a brilliant loophole if it's true. :D
  • pringb
    pringb Posts: 16 Forumite
    Many thanks for replying guys and the link CIS - excellent stuff. I was thinking along the same lines, really not sure how they can put two separate addresses on the same application. Good idea about getting it in writing, will speak to them. I'm worried they're going to get hit further down the line and get stung with a huge bill...will let you know if I find out anything interesting.
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