house sale and tax credits

eek1234

Hi guys, im posting on my mums behalf, she claims working tax credits to survive and she has just sold her house. She is having to put the house money into an account until she can find a house to buy which might be 6 months......does anyone know if this will affect her tax credits and if so is there a way around it? She can barely scrape enough to afford another house so cant touch the house money. Thanks x

Caz3121

the only effect will be that any interest over £300 would be counted as "other income" the actual capital will not affect the tax credits

hilly

hi I'm self employed and claim working tax credits, question is my father passed away 2months ago and has savings and his own house where doing probate at the moment so could be 1 to 8 months to sort out, what should I do keep claiming until monies from the estate are paid out or stop now thanks in advance.

Colin_Hunt

hilly wrote: »

hi I'm self employed and claim working tax credits, question is my father passed away 2months ago and has savings and his own house where doing probate at the moment so could be 1 to 8 months to sort out, what should I do keep claiming until monies from the estate are paid out or stop now thanks in advance.

As far as I am aware capital has no effect on tax credits.Only income.

pmlindyloo

hilly wrote: »

hi I'm self employed and claim working tax credits, question is my father passed away 2months ago and has savings and his own house where doing probate at the moment so could be 1 to 8 months to sort out, what should I do keep claiming until monies from the estate are paid out or stop now thanks in advance.

You haven't got the money yet so no need to declare it until you have it.

Savings/capital for tax credits do not count except for any interest earned over £300 per year.

When you receive the money just ring them and inform them.