We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Should I be entitled to more tax credits?

I have restarted work last week there after a gap of roughly 4 months. I was getting approx £80 in WTC and CTC up until the start of the summer 2014 there. However not long after I informed HMRC that I had resigned from my last job they slashed my tax credits by £48 weekly. The WTC has been reduced to zero. And my CTC reduced to £30 weekly.

I have tried my hardest to ring the helpline but finding it impossible to get through. Does anyone reading this know why my entitlement has been slashed? My family situation is still the same - my son is under 16 still at school...my partner's circumstances have remained the same. I am still disabled & had been getting the Disability element of the WTC until it was cut. (The disability element generally makes up the bulk of my entitlement ) As far as I am aware an increase of less than £5000 isnt counted so I cannot understand why they have reduced my payments. My income for April 2014/2015 will be just £400 more than that for April 2013/2014. I gave them an estimate of £5670 for April 2014/2105 which is still valid and correct for next year for them to base their calculations on. My partners hours still haven't changed. We both work 30 hours or more.

Please can someone shed some light on this?

Thank you very much!

Comments

  • HOWMUCH
    HOWMUCH Posts: 1,296 Forumite
    Part of the Furniture 1,000 Posts
    http://www.entitledto.co.uk/

    Key your details into the above, it may help.
    Why pay full price when you may get it YS ;)
  • Caz3121
    Caz3121 Posts: 15,920 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    What was your income April 2012/13? - your 13/14 award would have been based on this figure then you would have finalised the award with the information you sent in on your 13/14 actuals

    How much does your partner earn?
    I am surprised that you both working 30 hours per week would qualify you for WTC but only one person working 30 hours per week would cause the WTC to cease
    Do you have your award letters?
  • Blondebubbles, the 2013/2014 joint income was £22,784 and the 2012/2013 joint income was £23, 655. Estimated joint income for next year 2014/2015 is roughly £23, 600. I would've thought it's the income amount we are actually earning that would've mattered in the calculations. I read somewhere there is £5000 leeway so our increase/decrease in income is still within that amount - that's why I don't understand all this.
    I have looked through my previous award notices and it says we get the additional 30 hour element as well on top of the basic element. I get the low & middle rate of DLA

    We don't pay for childcare so don't claim any.

    Caz3121, in previous years when my partner worked 38 hours a week (and he still does) I was entitled to WTC (as well as the CTC) based on his hours when my income was zero. When I updated my work situation at the beginning of the summer 2014 though they never sent me an updated award notice.
  • jemmy8022
    jemmy8022 Posts: 7 Forumite
    Eighth Anniversary First Post Combo Breaker
    edited 2 September 2014 at 9:17PM
    But surely, although I had stopped working, and then restarted, my status is now EMPLOYED so do they not take that into consideration? What will happen after April 2015?

    My CTC was £63 weekly before it got reduced to £30.

    As for the year 2011 to 2012 the joint income was much much lower - £15,900 for us both jointly.

    Thanks for your feedback Blondebubbles. It helps. They dont make the award notices easy to understand though sure they dont?
  • Hi again. Yes I only informed tax credits a week ago of the new job and have not yet received an updated award notice as yet. I resigned from my last job officially on 24/4/14 I rang tax credits helpline three times and couldnt get through. In the end I only informed them beginning of June because I had to do the renewal so yes the payments went straight down after the renewal.

    I just looked at both our P60's and realised the income figure did indeed drop to £21, 781. I just remembered I was off sick for a while. What a muppet I am!. Thanks bubbles I think I know now why the tax credits were slashed. Still wondering what will happen after April 2015? I guess I will wait for the updated award notice and work from it there. Many thanks!
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.5K Banking & Borrowing
  • 254.4K Reduce Debt & Boost Income
  • 455.4K Spending & Discounts
  • 247.4K Work, Benefits & Business
  • 604.2K Mortgages, Homes & Bills
  • 178.5K Life & Family
  • 261.7K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.