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Working tax credit run on when hours changed

I'm asking on behalf of my niece who has just reduced her hours from 35 to 22.5 to allow her to care for her child while her partner studies. She currently gets WTC and CTC but when she called to say she has changed her hours they told her she will no longer get WTC due to being under 24 hours. She would get a run on payment for 4 weeks.
She has now received a TCAN which says she has reported a change in circumstances but it shows her hours as 35 still and only the income has been decreased. She called tax credits who said this is due to the 4 week run on and in 4 weeks time she will get a new award showing the correct hours but for this 4 weeks she is still classed as working 35 hours.
Is this correct? It seems strange as it says if anything is wrong to contact them straight away but when she called they say it's normal that it shows wrong.
Also she is entitled to some passported benefits due to not qualifying for WTC but she needs to show evidence she is only receiving WTC run on but the TCAN does not show this.
Sorry if this is a bit confusing, I'm quite confused by this myself.

Comments

  • Kernow666
    Kernow666 Posts: 3,480 Forumite
    Seventh Anniversary 1,000 Posts Combo Breaker I've been Money Tipped!
    sorry for hijacking this , i currently work 20hrs pw , i have a new job with the same company starting next month on 37.5hrs pw , will i have to contact them to report change in circs
    "If I know I'm going crazy, I must not be insane"
  • pmlindyloo
    pmlindyloo Posts: 13,104 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    lycam wrote: »
    I'm asking on behalf of my niece who has just reduced her hours from 35 to 22.5 to allow her to care for her child while her partner studies. She currently gets WTC and CTC but when she called to say she has changed her hours they told her she will no longer get WTC due to being under 24 hours. She would get a run on payment for 4 weeks.
    She has now received a TCAN which says she has reported a change in circumstances but it shows her hours as 35 still and only the income has been decreased. She called tax credits who said this is due to the 4 week run on and in 4 weeks time she will get a new award showing the correct hours but for this 4 weeks she is still classed as working 35 hours.
    Is this correct? It seems strange as it says if anything is wrong to contact them straight away but when she called they say it's normal that it shows wrong.
    Also she is entitled to some passported benefits due to not qualifying for WTC but she needs to show evidence she is only receiving WTC run on but the TCAN does not show this.
    Sorry if this is a bit confusing, I'm quite confused by this myself.

    This sounds fine.

    Whilst she is receiving the run on she will not be entitled to any pass ported benefits (which ones do you mean?) as the working tax credit run on is still counted as income. When she receives her new TCAN then she can use this as evidence for any new benefits.
  • pmlindyloo
    pmlindyloo Posts: 13,104 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Kernow666 wrote: »
    sorry for hijacking this , i currently work 20hrs pw , i have a new job with the same company starting next month on 37.5hrs pw , will i have to contact them to report change in circs

    Yes, you must report any change in circumstances.
  • lycam_2
    lycam_2 Posts: 114 Forumite
    pmlindyloo wrote: »
    This sounds fine.

    Whilst she is receiving the run on she will not be entitled to any pass ported benefits (which ones do you mean?) as the working tax credit run on is still counted as income. When she receives her new TCAN then she can use this as evidence for any new benefits.

    I think free school meals is the main one she's concerned with. Direct Gov says - if you get any of the following and lists 'Working Tax Credit run-on - paid for 4 weeks after you stop qualifying for Working Tax Credit'. I'm unsure how she would prove that it is the 4 week run on though as I've looked at the TCAN and it shows working tax credit payments due for the entire year. Apparently she will get another after the 4 weeks which takes this off but it means 4 weeks in between where she is not going to get the free school meals because she can't prove this.
  • pmlindyloo
    pmlindyloo Posts: 13,104 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    lycam wrote: »
    I think free school meals is the main one she's concerned with. Direct Gov says - if you get any of the following and lists 'Working Tax Credit run-on - paid for 4 weeks after you stop qualifying for Working Tax Credit'. I'm unsure how she would prove that it is the 4 week run on though as I've looked at the TCAN and it shows working tax credit payments due for the entire year. Apparently she will get another after the 4 weeks which takes this off but it means 4 weeks in between where she is not going to get the free school meals because she can't prove this.

    Certainly my council will not provide free school meals for people receiving the 4 weeks working tax credits.

    I suggest that you put the details into here:

    https://www.gov.uk/apply-free-school-meals

    and see if her council provides them in these circumstances.

    Perhaps it varies from council to council. Give the council a ring and find out.
  • lycam_2
    lycam_2 Posts: 114 Forumite
    pmlindyloo wrote: »
    Certainly my council will not provide free school meals for people receiving the 4 weeks working tax credits.

    I suggest that you put the details into here:

    https://www.gov.uk/apply-free-school-meals

    and see if her council provides them in these circumstances.

    Perhaps it varies from council to council. Give the council a ring and find out.

    Thanks very much for the link. I've followed this and it's Durham council which states 'In addition, children are entitled to free school meals if their families receive Child Tax Credit (provided they are not entitled to Working Tax Credit except for the four week 'run-on' period after a parent has become unemployed or reduced their hours to less than 16 per week), and their gross annual income is not over £16,190 (as assessed by Her Majesty's Revenue and Customs).' so looks like she will qualify but just needs to prove it. I'll get her to call Durham and see what they say. She can't have been the first person to have been applying while getting the run on payment.

    It's strange how it varies by council like that. I'm in Scotland so get that we might be different but you'd think it would be the same across councils in the same country.
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