🗳️ ELECTION 2024: THE MSE LEADERS' DEBATE Got a burning question you want us to ask the party leaders ahead of the general election? Submit your suggestions via this form or post them on our dedicated Forum board where you can see and upvote other users' questions. Please note that the Forum's rules on avoiding general political discussion still apply across all boards.

Will i get anything?

Options
Im looking for a bit of advice. Last year I was self employed and made an income of £9640. I done the tax credits calculator and its says im entitled to working tax credit and child support as I have 1 child.


However this tax year my predicted income will be around 17K.


So based on last years ( 2014-2015 ) I will be entitled to something .


But this tax year we are on now I wont be ?


Should I still fill in my form or will I have to repay what they give me if im not entitled to it from April ?


Hoping someone can help

Comments

  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Options
    roryp15 wrote: »
    Im looking for a bit of advice. Last year I was self employed and made an income of £9640. I done the tax credits calculator and its says im entitled to working tax credit and child support as I have 1 child.


    However this tax year my predicted income will be around 17K.


    So based on last years ( 2014-2015 ) I will be entitled to something .


    But this tax year we are on now I wont be ?


    Should I still fill in my form or will I have to repay what they give me if im not entitled to it from April ?


    Hoping someone can help

    You say child support, do you mean child tax credits?

    Does the child live with you?

    Are you single or living with a partner?

    How many hours do you work?

    Do you not already claim any tax credits?
  • roryp15
    roryp15 Posts: 49 Forumite
    Options
    Yes possibly child tax credits...

    I'm single and the child says with me 3.5 days a week ( 50/50 )

    Don't claim anything and I work as a director of LtD company now so hours can vary... I've put 30 on the form but would probably work out a lot more.
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Options
    Only one parent can claim for the child, the main carer.

    Does the other parent claim child tax credits already?

    Who claims child benefit?

    If director of ltd company, does the £17,000 include both salary and dividends?
  • roryp15
    roryp15 Posts: 49 Forumite
    Options
    Not sure if she claims child tax credits

    I don't get any child benefit so must be her

    Yes predicted income for 2015/16 is around 17K salary and dividend but 2014/15 was online 9K and that's what the form is asking for.
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    Options
    Tax credits is initially based on your previous years income unless the current year income -
    Increases by £5000
    Decreases by £2500.

    You declare the 2014/15 income on the form then call once the claim is processed to inform them that 2015/16 would be different.

    If your income last year was £9,000 and this year £17,000, your tax credit claim for this tax year will be based on £12,000 (£17,000 - £5,000).

    If you try to claim child tax credits and the other parent already does then you will both be sent a letter to establish who the main carer of the child is.

    http://www.hmrc.gov.uk/manuals/tctmanual/TCTM02204.htm

    If you cannot decide between you who the main carer is, tax credits will decide based on the replies they receive.

    Although who claims the child benefit is not a deciding factor, it is likely that as she already does, she is the main carer.

    If you just claim working tax credits (assuming you are over 25) and don't claim for your child, you'd be entitled to a small amount until April then your claim would stop. Approx £9 per week.

    This is because from April the full £17,000 will be taken into account and the limit for working tax credits is approx £13,000 for a person with no qualifying children or disabilities.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 8 Election 2024: The MSE Leaders' Debate
  • 343.9K Banking & Borrowing
  • 250.3K Reduce Debt & Boost Income
  • 450K Spending & Discounts
  • 236K Work, Benefits & Business
  • 609.2K Mortgages, Homes & Bills
  • 173.4K Life & Family
  • 248.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards