Tax Credits to Stop for the Self-Employed on May 31st when SEISS ends?

cocacolakid

I saw this on the "Manage your WTC" site:

"Your Working Tax Credit will not go down if you are working less because of coronavirus (COVID-19). We will treat you as working normal hours until the Job Retention Scheme and Self-Employed Income Support Scheme close.

Up to now, WTC are paying out even if you can't work your normal hours. If, as seems increasingly likely, SEISS isn't extended beyond May 31st, does this mean the S/E who can't work their normal hours will also lose their tax credits? This seems doubly harsh, especially as the furlough scheme goes on to October  so they can also claim WTC until then.

poppy12345

At the moment your WTC continues. There's been no further announcements regarding the SEISS.

cocacolakid

Yes, but the SEISS only goes up to 31st May unless it's renewed. And the site says WTC will only ignore the fall in hours until SEISS ends.

Jeremy535897

It says SEISS and CJRS. I would assume that this applies whether you have a job, or are self employed, or both. That means hours should be ignored for WTC until 31 October.

cocacolakid

It's ambiguous isn't it? Does it mean that everyone gets it until the furlough scheme runs out in October or that S/E get it until end of May and PAYE only until end of October?

Jeremy535897

cocacolakid said:

It's ambiguous isn't it? Does it mean that everyone gets it until the furlough scheme runs out in October or that S/E get it until end of May and PAYE only until end of October?

It could have been put better, but it makes no sense if you read it as anything other than lasting until the last scheme to run out does run out (CJRS at the moment). What if you are self employed and not furloughed, for example?

calcotti

This page is clearer https://www.gov.uk/changes-affect-tax-credits

You do not need to report any fall in your working hours as a result of coronavirus (for example you’re working fewer hours or have been put on furlough).
You’ll be treated as if you’re working your normal hours until the Coronavirus Job Retention Scheme closes.

cocacolakid

Thank you for that calcotti - I like that link much better!