Tax credits and Capital Gains

Wiley82

Hi all I'm self-employed and claim working tax credit (i'm still on the old system not Universal Credit).

Last week i made a large capital gains sale which is over the £12,300 limit and this capital gain will put me in the 'higher tax rate' band (£50,001 to £150,000), so believe i will have 20% tax to pay on it.

Will this affect my working tax credits?

I found a similar thread to my case here:-

https://forums.moneysavingexpert.com/discussion/5894072/tax-credit-and-capital-gain/p1

But nothing which talks about this 2020, as anything changed?

Thanks for your help.

Wiley82

Does anyone have any info related to my question?

A reply would be appreciated if anyone does.

poppy12345

The forum has been quite quiet today. I'm sure once someone sees it and knows the answer they will reply with some advice.

Wiley82

Hi Poppy thanks for the reply.

I've just been doing some more research on this and people who have the same query as me have asked HMRC on Twitter and it seems it won't affect my tax credits:-

https://twitter.com/kopite32/status/1258143057939058688

Infact someone sold a similar captial gain to me in a website (mine was a domain name) and they got told it doesn't affect tax credits:-

https://twitter.com/HMRCcustomers/status/1039893392266801153

So think i have my answer.

If anyone wants to add anything to my question here though that would be appreciated.