I'm a tax credit idiot.

Stabler

So I've genuine made a stupid mistake.
My TC have been stopped due to an overpayment of £3500, most of which I've paid back.
I've just received a TCUG02 enquiry form, (which I can't find on the hmrc website to fill out on line) wanting to know about my childcare. Spoke to a hmrc agent who said it was for 17/18 and they just wanted to know about my childcare arrangements.
HERE'S the problem, I do salary sacrifice but I've also been getting tax credits because on the forms it says do you receive CCV I've always put no because I've always thought childcare vouchers were from private companies and given out as an incentive to their employees and not SS, I was having a moan about it to a friend whow pointed out CCV and SS are the same thing??? Is that true and I can't do SS and get TC''s. I really want to tell them aboyt my mistake but I'm scared of what will happen to me. I've been having full blown panic attacks because Im scared the hmrc will think I've done it on deliberately.
I hate filling forms out, I'm dyslexic so I find it really difficult.

Icequeen99

Stabler wrote: »

So I've genuine made a stupid mistake.
My TC have been stopped due to an overpayment of £3500, most of which I've paid back.
I've just received a TCUG02 enquiry form, (which I can't find on the hmrc website to fill out on line) wanting to know about my childcare. Spoke to a hmrc agent who said it was for 17/18 and they just wanted to know about my childcare arrangements.
HERE'S the problem, I do salary sacrifice but I've also been getting tax credits because on the forms it says do you receive CCV I've always put no because I've always thought childcare vouchers were from private companies and given out as an incentive to their employees and not SS, I was having a moan about it to a friend whow pointed out CCV and SS are the same thing??? Is that true and I can't do SS and get TC''s. I really want to tell them aboyt my mistake but I'm scared of what will happen to me. I've been having full blown panic attacks because Im scared the hmrc will think I've done it on deliberately.
I hate filling forms out, I'm dyslexic so I find it really difficult.

Unfortunately your friend is right - there is nothing stopping you claiming both together (although in some cases you can be worse off doing that) but if you do, then you must deduct the vouchers from your childcare figure before you give it to HMRC for tax credits. Your income figure will also be lower than it would usually because of the salary sacrifice.

You will need to explain your mistake and there will be an overpayment which will then need to be paid back. They could charge you a penalty but hopefully if you explain you struggle with forms they won't do that.

IQ

Stabler

So if my if my childcare costs were £2000 and my SS was £1500 I would say my childcare total cost was £500? is that right?

Icequeen99

Stabler wrote: »

So if my if my childcare costs were £2000 and my SS was £1500 I would say my childcare total cost was £500? is that right?

Yes, but at the same time, your salary figure for tax credits will be £1500 lower than it would be without the salary sacrifice.

As I say, it depends on your circumstances and the figures involved - some people are better off not taking salary sacrifice and sticking with claiming all of their costs through tax credits.

IQ

Stabler

I think I understand.
If.my wage was £10000 i would take off £1500? So I'd tell hmrc my wage was £8500?

It's all so very confusing, and frighting. I really do appreciate your help icequeen, hopefully my panic attacks will stop soon.

Icequeen99

Stabler wrote: »

I think I understand.
If.my wage was £10000 i would take off £1500? So I'd tell hmrc my wage was £8500?

It's all so very confusing, and frighting. I really do appreciate your help icequeen, hopefully my panic attacks will stop soon.

The deduction should already be taken into account on your P60 figure because you have sacrificed part of your salary to buy the vouchers.

IQ

Stabler

'Buy the vouchers' the penny has dropped again. I hate been me.
Another friend told me she adds on compulsory school costs such as for educational trips. Is that right? Because I've never done that.
I've cancelled the S sacrifice, it's to complicated, my stress levels are through the roof, going to see the doctor next week because I really can't cope with the panic attacks and constantly feeling on edge.

Icequeen99

Stabler wrote: »

'Buy the vouchers' the penny has dropped again. I hate been me.
Another friend told me she adds on compulsory school costs such as for educational trips. Is that right? Because I've never done that.
I've cancelled the S sacrifice, it's to complicated, my stress levels are through the roof, going to see the doctor next week because I really can't cope with the panic attacks and constantly feeling on edge.

I'm sorry you're struggling, but glad you're getting help.

Educational trips can't be included.

IQ

Stabler

I need to tell a few friends they shouldn't add school trip costs onto the tax credit's. In your opinion, who are the best people to go to to help me fill in the tax credits forms. I went to CAB bit they were a little unsure, the woman seamed unsure about what the difference was between child care vouchers and SS. I did think about going to an accountant.