Do non-dependants affect child tax credits?

FBaby

My current situation is that I'm getting working tax credits for low-income+hours

How many hours is this? If you are not working FT, it might be more complicated depending as to whether you are in a UC area or not.

pmlindyloo

Darksparkle wrote: »

Because they'd pay you rent/dig money and if within the limit of the rent a room scheme you wouldn't pay tax on it.

Please can you confirm this?

I thought that any son/daughter living in your house and paying a contribution towards household bills would not come under the Rent a Room scheme? Are they classed as lodgers then? I thought they would be non dependents? Or is that only for HB and CT purposes?

Plus, their earnings and any contribution would not be classed as income for tax credits purposes.

Darksparkle

pmlindyloo wrote: »

Please can you confirm this?

I thought that any son/daughter living in your house and paying a contribution towards household bills would not come under the Rent a Room scheme? Are they classed as lodgers then? I thought they would be non dependents? Or is that only for HB and CT purposes?

Plus, their earnings and any contribution would not be classed as income for tax credits purposes.

No idea for HB and CT, never dealt with them. I'm only commenting on the tax question OP asked. Tax credits follow same rules.

I've never known a parent to charge more rent/dig money than the rent a room scheme so never seen any need to question if the scheme actually extends to family. From a quick Google search, I can't find anything that suggests it cannot be extended to a connected person.

partypopper

Hi , My partner and I together get about £20 a week in working tax credit and around £50 a week child tax credit whilst my daughter age 18 is in full time education. if my daughter gets a job after July 2019, when her course is finished, Will we continue to get any tax credits?
i expect that to no longer get any child tax credit because she will become independent but still living at home. She will probably sign for JSA in July until she finds work and I wonder if in July, we will be taken off working tax credit because she will have an income? i cant seem to find out if her working or claiming JSA once she has finished non advanced full time education, will mean no more benefits for us, her parents on low income.
I have read somewhere that if we need to move or are moved to universal credit, that all non dependents (grown up children) whether earning or not earning anything could negatively affect a household incomes benefit eligibility drastically because there is an expectation for them to contribute to the households finances but cant remember where I read this. Note we do not claim any other benefits. Thanks in advance for any replies or comments

poppy12345

partypopper wrote: »

Hi , My partner and I together get about £20 a week in working tax credit and around £50 a week child tax credit whilst my daughter age 18 is in full time education. if my daughter gets a job after July 2019, when her course is finished, Will we continue to get any tax credits?
i expect that to no longer get any child tax credit because she will become independent but still living at home. She will probably sign for JSA in July until she finds work and I wonder if in July, we will be taken off working tax credit because she will have an income? i cant seem to find out if her working or claiming JSA once she has finished non advanced full time education, will mean no more benefits for us, her parents on low income.
I have read somewhere that if we need to move or are moved to universal credit, that all non dependents (grown up children) whether earning or not earning anything could negatively affect a household incomes benefit eligibility drastically because there is an expectation for them to contribute to the households finances but cant remember where I read this. Note we do not claim any other benefits. Thanks in advance for any replies or comments

It would have been better to have started your own thread with this question rather than ask it on a thread that's 6 months old.



If your daughter is staying in full time non advanced education then your tax credits and child benefit will continue until she reaches her 20th birthday. You will need to ring HMRC if she's planning on continuing with this, otherwise it will stop in August.


If she doesn't continue with her full time education then your benefits for her will stop. She won't be able to claim JSA because it doesn't exist anymore.



If she's gets a job she won't need to claim any benefits because she'll be working, she should pay you for her "keep" from her wages.

poppy12345

partypopper wrote: »

I have read somewhere that if we need to move or are moved to universal credit, that all non dependents (grown up children) whether earning or not earning anything could negatively affect a household incomes benefit eligibility drastically because there is an expectation for them to contribute to the households finances but cant remember where I read this.

This is not correct, unless you're claiming the housing element of UC, then non dependent deductions could apply depending on a person's circumstances.