Amended Childcare tax credits - Reduction due to income?

Kayalana99

Hiya,

We sent our renewal pack and got an amended tax credits award from the provisonal (so our final one I assumed)

Got one this morning, and our payments have lowered because our child is no longer in childcare.


Now on the first one, if you do the calucations we only needed £270 worth of childcare for the year and it was divded over the rest of the payments - so not the period the child was in childcare but over the year.

So now we are no longer using childcare because I am going back on Mat/Leave we have recieved a letter saying they are paying us the rest of the child care - fair enough, but then the payments are lower.

On comparing the two amended sheets the childcare is correct still but the reason that they are paying us less money is because on the 'reduction due to your income' is £400 differnert....

But our income on both are the same...? Does that make sense?

Not understanding how they are working this out?

Kayalana99

Been sat here and comparing them and they don't bloody make any sense.

Basicly I *thought* I was getting £270 for childcare (my childcare was £360 for the year) so it worked out around 70%...turns out it that was based on £900 for childcare for the whole year...god knows where that figure came from and with income reductions it works out at £270....so really I was only ever entitled to £90 for the £360 childcare we paid this year.

Then on the other page, it says we are allowed £2700 or something and on the first form the reduction was £100 but on the second form its £500...so thats another £400

Not sure if thats because of how they worked out the childcare and because we don't have a reduction on childcare they have taken it off the £2700...

Ugh. Tried ringing them and they can't take our call right now...