loss of CTC

jaxa

Hi.

I've just had my equity payment from the sale of my ex marital home and have moved into rented acc.
I am retired and currently get ctc for one child. I will be contacting hmrc with my new situation soon but wondered if any wise persons on this site could give me a clue about how they work out my reduction due to capital which I assume they will class as savings?

Many thanks

jaxa

blondebubbles wrote: »

Tax credits don't include savings as income. Only the interest on savings of over £300 per year.

Thanks for your reply.
Does that mean that if I just leave the money in my current account it won'e affect my CTC?

allen35

Correct, although you need to inform other departments such as Pension Credit and your Local Council if receiving any Housing Benefit/Council Tax Support.

jaxa

allen35 wrote: »

Correct, although you need to inform other departments such as Pension Credit and your Local Council if receiving any Housing Benefit/Council Tax Support.

Thank you allen35

I don't get pension credit and I've contacted the council who now have me back on their hit list;)
I think I should find a good IFA and get some advice.

antrobus

jaxa wrote: »

..... I will be contacting hmrc with my new situation soon but wondered if any wise persons on this site could give me a clue about how they work out my reduction due to capital which I assume they will class as savings?.....

Yes.

But it's probably an amount attributable to the proceeds of the sale of premises that you formerly occupied as your home, and therefore would be disregarded as capital for the purposes of means-tested benefits for at least six months.

The idea being that should be long enough for you to organise the purchase of another home. Which might not be your intention. But you still have six months leeway.

jaxa

antrobus wrote: »

Yes.

But it's probably an amount attributable to the proceeds of the sale of premises that you formerly occupied as your home, and therefore would be disregarded as capital for the purposes of means-tested benefits for at least six months.

The idea being that should be long enough for you to organise the purchase of another home. Which might not be your intention. But you still have six months leeway.

Thanks.
I've been doing a little research and found a thing called capital disregards which can be applied to benefits for varying lengths of time.You must be intending to buy/part buy a new property within the time period.
But i'm not sure that it's not for businesses only?