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Tax credit coronavirus payments
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hope this helps
taken from the dept for work and pensions website 
Additional earnings disregard and WTC
3. The current rate of the additional earnings disregard of £17.10 is increased to £37.10. The increase takes into account the temporary increase in the basic element of WTC and takes effect on 6th April 2020. The increase will cease to apply at the end of 4th April 2021.
4. HM Revenue and Customs (HMRC) has confirmed that increases to the basic element of WTC will be applied to claims in batches over a 35-day period from 9 April 2020 which will result in the increase from 6 April 2020 being paid as arrears.
5. Arrears payments of Tax Credits including WTC are treated as capital and can be disregarded for 52 weeks under paragraph 9 of regulation 46 and paragraph 9 of Schedule 6 of SI 2006/213 and under paragraph 3 of regulation 44 and paragraphs 18 and 21 of SI 2006/214.
6. This means that in cases where HB claims do not see the increased rate of the additional earnings disregard and increased rate to the basic element of WTC applied to individual claims within the same benefit week, overpayments are not created.
7. Claimants who have been furloughed or whose hours have been reduced temporarily will continue to be entitled to WTC as they will be treated as still working their normal hours for 8 weeks when entitlement will be reviewed. This means they will also continue to be entitled to the additional earnings disregard for the same period.
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Housing benefit do get informed by hmrc so they will update payments on there system .1
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Ive had leter from housing benefit saying i will receive less due to getting more tax credits
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That’s what I’m waiting for !alwaysskint2020 said:Ive had leter from housing benefit saying i will receive less due to getting more tax credits0 -
Have you tax credits increased by £20/week or by more than that?alwaysskint2020 said:Ive had leter from housing benefit saying i will receive less due to getting more tax creditsInformation I post is for England unless otherwise stated. Some rules may be different in other parts of UK.0 -
calcotti said:
Have you tax credits increased by £20/week or by more than that?alwaysskint2020 said:Ive had leter from housing benefit saying i will receive less due to getting more tax creditsby £20
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That doesn't seem right then. If the Tax Credits have gone up by £20 this should be covered by the increased disregard and shouldn't affect your Housing Benefit. May be worth contacting the Housing Benefit team.alwaysskint2020 said:calcotti said:
Have you tax credits increased by £20/week or by more than that?alwaysskint2020 said:Ive had leter from housing benefit saying i will receive less due to getting more tax creditsby £20
Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.0 -
What happens to WTC if not extended after the 8 week period0
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I got my email today saying my housing benefit will go down due to the extra £20 working tax credit. Cheers then !alwaysskint2020 said:Ive had leter from housing benefit saying i will receive less due to getting more tax credits0 -
We still don't know yet as HMRC has still not updated the situation. Why they haven't, I'm not sure? Leaving it a bit late really, as many people's 8 week period of furlough is nearly over 😐andy_1967 said:What happens to WTC if not extended after the 8 week period0
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