Benefit cuts timetable

andrewmp

Icequeen99 wrote: »

12125

The other thing about the BBC calculator it ignores what the legislation says in WTC/CTC cases.

You don't always use £16105 - you use that or IF GREATER the point at which WTC tapers to nil.

Take a couple, one working full time and qualifying for the disability element. Their CTC taper point from April 16 will be nearly 20k. So if their income was say 18,000 they would still get maximum CTC even if HMRC left the threshold at £16,105.

IQ

OK, so in my case, I'm married, I work full time, have kids, no disabilities, at what point would the WTC taper to nil? forgot to mention, no childcare.

Icequeen99

andrewmp wrote: »

OK, so in my case, I'm married, I work full time, have kids, no disabilities, at what point would the WTC taper to nil? forgot to mention, no childcare.

For you from April 2016 about £13808

IQ

andrewmp

Icequeen99 wrote: »

For you from April 2016 about £13808

IQ

Ouch, ok thanks, so loads worse off than all the calculators are saying.

Cheers Gideon.

Icequeen99

andrewmp wrote: »

Ouch, ok thanks, so loads worse off than all the calculators are saying.

Cheers Gideon.

well, that is just WTC - obviously until the issue of the CTC threshold is resolved you won't know exactly how worse off you are.

IQ

andrewmp

Icequeen99 wrote: »

well, that is just WTC - obviously until the issue of the CTC threshold is resolved you won't know exactly how worse off you are.

IQ

Yeah, but from what you're saying, the CTC bit will drop in line? SO I'll be using the higher one, which will be WTC

scottambrose

its very confusing, i earn 18500k a year have done for the last 3 years and unlikely that will rise to over 19.5k in the next 12 months
we currently just get ctc for our 2 children plus the child benefit(which isnt changing)

so we get about 5900 ish a year which some calculators say we will loose about 2.5k and others about 900 pounds. i work 44 hours a week and my partner 0 as she looks after the kids.

andrewmp

scottambrose wrote: »

its very confusing, i earn 18500k a year have done for the last 3 years and unlikely that will rise to over 19.5k in the next 12 months
we currently just get ctc for our 2 children plus the child benefit(which isnt changing)

so we get about 5900 ish a year which some calculators say we will loose about 2.5k and others about 900 pounds. i work 44 hours a week and my partner 0 as she looks after the kids.

It'll be somewhere inbetween, probably about £1700

The Sun etc are assuming the CTC threshold won't go down, the telegraph are presuming everything is calculated on the new WTC threshold.

The truth is usually somewhere in between depending on your circumstances.

Mersey_2

Labour have said they won't oppose the Benefits Cap of £20k pa outside London, or the 2 child limit to Child Tax Credits.

zagfles

It looks like the CTC threshold will go down as IQ says. Looking at this chart from the OBR, which shows the cut off for a working family with one child at about £21k which fits with the CTC threshold being lowered to £12125.

http://cdn.budgetresponsibility.independent.gov.uk/July-2015-EFO-234224.pdf
search for 4.103

The Policy Costings in the Budget documents say they agree with the OBR:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/443195/Policy_costings_summer_budget_2015.pdf
p.49

I reckon IQ can do her dance now

Icequeen99

zagfles wrote: »

It looks like the CTC threshold will go down as IQ says. Looking at this chart from the OBR, which shows the cut off for a working family with one child at about £21k which fits with the CTC threshold being lowered to £12125.

http://cdn.budgetresponsibility.independent.gov.uk/July-2015-EFO-234224.pdf
search for 4.103

The Policy Costings in the Budget documents say they agree with the OBR:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/443195/Policy_costings_summer_budget_2015.pdf
p.49

I reckon IQ can do her dance now

:j:j:j:j:j:j:j:j:j:j