Unexpected working tax credit payment

chickenpie81

Hi,

I have just checked my online banking today and there is a payment for approx. £900 due to clear tomorrow from Working Tax Credits.

I have not applied for them this tax year. I last received WTC's around 4 years ago and have not been entitled to anything since. My wages have not altered to the extent that I would get anything based on last tax years earnings. In fact I recently received a letter confirming I am entitled to zero this year.

The only thing that has changed is that I have recently started receiving PIP and so wondered if this could have something to do with it? The £900 includes a payment for £51 which multiplied by number of weeks since applied for PIP = approx. £900.

Any ideas?

Going to give em a bell tomorrow but you know what its like getting through!

Thanks.

Darksparkle

Could be that the disability element or severe disability element has been added to your claim increasing your entitlement.

chickenpie81

Darksparkle wrote: »

Could be that the disability element or severe disability element has been added to your claim increasing your entitlement.

Entitlement to what? PIP? Dont think so as bank statement says payment coming from WTCs.

And I havent claimed WTC's.

Thanks tho.

Darksparkle

chickenpie81 wrote: »

Entitlement to what? PIP? Dont think so as bank statement says payment coming from WTCs.

And I havent claimed WTC's.

Thanks tho.

Entitlement to the disability element or severe disability element as I said in my post.

You said you claimed 4 years ago but stopped being entitled (I assume due to your income). Adding the disability or severe disability element to your claim increases the amount you can earn and get tax credits.

Now you are saying you haven't claimed?

chickenpie81

As I said in my original post I have not claimed tax credits for around 4 years, including this year. Therefore I dont understand why I am suddenly getting a payment...

Darksparkle

Your OP suggests you haven't been getting tax credits because of your income. If it's because of another reason then can you tell us what that is?

If you now get PIP you are most likely eligible for the disability element and/or severe disability element of WTC.

Being entitled to this element increases the amount you can earn and claim tax credits so most likely that is why you have had the back payment.

You did make a claim, as you said previously. It's likely you have had an award running showing zero entitlement but now as you are on PIP you are entitled based on the reason explained above.

chickenpie81

I havent been getting tax credits because of my income, that is correct.

I understand that I maybe eligible for the disability element of WTC now, due to recent PIP award. However, do I not have to apply for this? I didnt think it would just happen, when I dont have a live claim with tax credits.

Darksparkle

That's the point I'm making, if you don't get tax credits because of your income you still have a claim. It's just a claim for zero. You should have still had a letter from them each year confirming this.

If you didn't then only they can go into any greater detail with you.

chickenpie81

Ah okay. Yes, as I said in original post I recently received a letter stating my entitlement was zero for this year. Thanks for your help. Like I say I thought I would have to actually inform tax credits I am receiving PIP to get any payment from tax credits.

Darksparkle

Some gov systems are linked. The DWP pass this info to HMRC.

densol_2

chickenpie81 wrote: »

Ah okay. Yes, as I said in original post I recently received a letter stating my entitlement was zero for this year. Thanks for your help. Like I say I thought I would have to actually inform tax credits I am receiving PIP to get any payment from tax credits.

Obviously not - which is to your benefit