Jump in income next year - do I tell tax credits

somethingcorporate

wolvoman wrote: »

Good points.
The way tax credits are administered leaves them wide open to good tax planning.

Value of assets is not relevant, tax credits are fully income based.

No one willingly pays more in tax than they should.

That won't stop the Government trying to tell us otherwise!!

Remember kids, tax avoidance is a SIN! :rotfl:

wombleking

Hi Wolvoman,

Thanks for your posts. I'm going to try and use this 'loophole' in a similar way as you have. Not on quite the same scale unfortunately...

Can I ask, I see you salary sacrificed to pull your income down. At the moment my employer pension doesn't salary sacrifice but I can increase my pension contributions to create the same effect (except for Nat Insurance obvs).

Do you know if that would be treated the same way as salary sacrifice?

FBaby

When is Universal Credit due to replace tax credits? I believe this won't be able to happen any longer as it won't be possible to claim with savings?