Tax Credit Help

jamieukonline

Hi everyone,

My wife & I have a 3 month old daughter and have just received our Tax Credit Award of £1083.23. We are only entitled to the child tax credit element (our income reduced the working tax credit element).

I'd like to know how much different it will be if my wife decides not to go back to work. An estimate online using the income figures from our claim leaves us with £770, and with just my income £1289.

This is obviously a fair difference, but since the estimate for both of our income is £300, I've not got a clue if the £1289 is realistic or not!

Can anyone advise?


Thanks

Cute_'n'_Quirky

go to www.entitledto.co.uk and input the details without your wife's income and it will give you the answer.

I have found entitledto to be invaluable for me and has been accurate to the penny of the award I was given.

jamieukonline

Thanks, have tried that and it comes out the same.
The estimate for Tax Credits with us both on our current incomes is way out so not sure what to make of the estimate on just my income!

bestpud

You could try putting your details into the tax credit site and see what it comes up with: http://www.taxcredits.inlandrevenue.gov.uk/HomeNew.aspx

Entitled to has always been very accurate for us so I'm not sure why it is so far out for you.

Have you tried putting in just your incomes and not bothering with the extra bits like what award you are receiving now etc? I have found these bits can confuse it somewhat.

You will be getting double at the moment as your littlie is less than a year old but I would hope entitled to would recognise this. Other than that, do you have tax relief on anything work related or a company car - that kind of thing - which may make it more difficult to estimate? Or does your wife pay into a pension scheme? I'm clutching at straws really as I don't know but am guessing there is some reason entitled to is not giving you an accurate result. Oh, thinking about it, someone else has posted on here saying entitled to overestimated their income from savings. Don't know if you have any but that may be the answer if you have. I'm saying all this as food for thought btw, not asking you to answer them!

As a rough guide, you would need to be on less than around £14000 to receive wtc but I don't know how income affects ctc. I believe there is a table on the tax credit site now, which gives some sort of sliding scale re income and awards available? That may give you an idea.

Perhaps you could ring teh helpline and ask for an estimate based on different scenarios. They used to do this years ago - not sure if they do now or not?

Cute_'n'_Quirky

The normal tax credits site was not accurate for me at all!