WTC and Carers Allowance

50Twuncle

I work 10 hours a week - earning about £70 per week - topping up my ill health pension of £160 per week - I also receive DLA (£55.10 per week)
My wife claims Carers Allowance for looking after me (£62.10 per week) -
Can we claim WTC - based on my wife, working 35 hours per week (which is what is required) ?

Darksparkle

No because receiving carers allowance is not considered remunerative work.

https://www.gov.uk/hmrc-internal-manuals/tax-credits-technical-manual/tctm02468

If you were able to increase your hours to 16 per week you could claim WTC with the disability element.

GwylimT

No, to claim TC she would need to be working for NMW for the required hours each week.

50Twuncle

Darksparkle wrote: »

No because receiving carers allowance is not considered remunerative work.

https://www.gov.uk/hmrc-internal-manuals/tax-credits-technical-manual/tctm02468

If you were able to increase your hours to 16 per week you could claim WTC with the disability element.

Thought as much
I have tried, repeatedly to get more hours but my employer just says NO !!

Darksparkle

50Twuncle wrote: »

Thought as much
I have tried, repeatedly to get more hours but my employer just says NO !!

Take on a second job? Find another employer? Any self employed work you could do?

Darksparkle

GwylimT wrote: »

No, to claim TC she would need to be working for NMW for the required hours each week.

No 100% correct. If someone is self employed they do not need to earn NMW.

GwylimT

Darksparkle wrote: »

No 100% correct. If someone is self employed they do not need to earn NMW.

The business however is required to make a profit. If the person is paying themselves less than NMW there are quite a few things that need providing, eg business plan, member of a professional body, sales figures, stock take (if selling a physical item), planned work, cash flow, profit projections. Then of course if it is awarded you can end up paying some back depending on how much profit you make or if they aren't running a commercial business such as hobby work they may be required to pay back all tax credits.

Darksparkle

GwylimT wrote: »

The business however is required to make a profit. If the person is paying themselves less than NMW there are quite a few things that need providing, eg business plan, member of a professional body, sales figures, stock take (if selling a physical item), planned work, cash flow, profit projections. Then of course if it is awarded you can end up paying some back depending on how much profit you make or if they aren't running a commercial business such as hobby work they may be required to pay back all tax credits.

It's not about what they pay themselves, it's about the business profits.

If you don't earn NMW as a self employed person then you may be subject to a compliance check.

However that was not what you said, which is why I was clarifying.