If your predicted tax credit amount is different to actual do you tell HMRC?

Predicted £7,000 for tax credits but actually made £8,200. As soon as I submit tax return, should I tell HMRC the difference in figures or wait for them to adjust it?




To get free prescriptions on tax credits , do I need a card?
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  • calcotti
    calcotti Posts: 15,696 Forumite
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    textbook wrote: »
    Predicted £7,000 for tax credits but actually made £8,200. As soon as I submit tax return, should I tell HMRC the difference in figures or wait for them to adjust it?

    Because the difference is less than £2,500 it will not affect your award and there will not have been an overpayment. However your 2019-2020 award will be based on the higher amount so your ongoing award will be reduced. I don't think the Tax Credits section will be informed by the tax section so you need to tell Tax Credits the revised figure either now or when you get your annual renewal letter through. Obviously the longer you leave the longer you will have been receiving a payment which will have been too high and the adjustment will then further reduce your payments for the rest of the year.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • sheramber
    sheramber Posts: 19,047 Forumite
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    If you are entitled to a NHS exemption card it will be issued automatically.

    Details here https://www.nhsbsa.nhs.uk/exemption-certificates/nhs-tax-credit-exemption-certificates
  • textbook
    textbook Posts: 578 Forumite
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    edited 14 April 2019 at 10:54AM
    sheramber wrote: »
    If you are entitled to a NHS exemption card it will be issued automatically.

    Details here https://www.nhsbsa.nhs.uk/exemption-certificates/nhs-tax-credit-exemption-certificates






    Still a bit confused. I followed the chart and as I don't have a disability with my tax credits I think I am not entitled . I ONLY get £8,200 income last year so get tax credits on last year's tax return. Is it definitely right that I can't claim?


    I don't think I got a card.


    The foreign pharmacist said I was entitled when I said I only get tax credits so I didn't pay. will I now get in trouble? Still not certain if I get them for free or not.


    Should I pay the full amount from now on? Also, now I realise I might have made a mistake, should I contact someone to prevent getting arrested? I got three items without paying


    I ticked the box on back of form to say I get tax credits. It's not very clear
  • sheramber
    sheramber Posts: 19,047 Forumite
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    If you only get tax credits then you are not eligible for an exemption card.

    You may be entitled to help under the low income scheme
    https://www.nhsbsa.nhs.uk/nhs-low-income-scheme

    You may be issued with a penalty for wrongly claiming exemption but you will not be arrested.

    You may with to contact service below and explain.

    Prescription Exemption Checking Service (penalty charges)

    Online: use our online form

    Telephone: 0300 330 9291

    Opening hours: 8am to 6pm Monday to Friday, 9am to 3pm on Saturday

    https://www.nhsbsa.nhs.uk/contact-nhs-help-health-costs
  • calcotti
    calcotti Posts: 15,696 Forumite
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    sheramber wrote: »
    If you only get tax credits then you are not eligible for an exemption card.

    That's not what the link you provided earlier says:
    You're entitled to full help with health costs if your annual family income used to calculate your Tax Credits is £15,276 or less and you receive either:

    Child Tax Credit
    Working Tax Credit and Child Tax Credit paid together
    Working Tax Credit including a disability or severe disability element

    It is true that if you only get Working Tax Credits (without a disability element) you are not entitled to an exemption card. I think this is probably what you meant but just want to be clear for OP.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
  • textbook
    textbook Posts: 578 Forumite
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    went back to pharmacies and they hadn't sent the prescriptions off so paid for them. Ill try and apply for card
  • [Deleted User]
    [Deleted User] Posts: 4,176 Forumite
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    textbook wrote: »
    Still a bit confused. I followed the chart and as I don't have a disability with my tax credits I think I am not entitled . I ONLY get £8,200 income last year so get tax credits on last year's tax return. Is it definitely right that I can't claim?


    I don't think I got a card.


    The foreign pharmacist said I was entitled when I said I only get tax credits so I didn't pay. will I now get in trouble? Still not certain if I get them for free or not.


    Should I pay the full amount from now on? Also, now I realise I might have made a mistake, should I contact someone to prevent getting arrested? I got three items without paying


    I ticked the box on back of form to say I get tax credits. It's not very clear

    The pharmacist nationality is important?
  • 50Twuncle
    50Twuncle Posts: 10,763 Forumite
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    calcotti wrote: »
    Because the difference is less than £2,500 it will not affect your award and there will not have been an overpayment. However your 2019-2020 award will be based on the higher amount so your ongoing award will be reduced. I don't think the Tax Credits section will be informed by the tax section so you need to tell Tax Credits the revised figure either now or when you get your annual renewal letter through. Obviously the longer you leave the longer you will have been receiving a payment which will have been too high and the adjustment will then further reduce your payments for the rest of the year.


    When was the limit of £2500 set ?
    Because, in 2012 I claimed WTC and underestimated our income by £1600 - I was threatened with a summons, unless I repaid ALL of the WTC that I had received within a month *REALLY THREATENING LETTER* - I repaid it all (some £2000) and have been scared to reapply since then...
  • sheramber
    sheramber Posts: 19,047 Forumite
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    50Twuncle wrote: »
    When was the limit of £2500 set ?
    Because, in 2012 I claimed WTC and underestimated our income by £1600 - I was threatened with a summons, unless I repaid ALL of the WTC that I had received within a month *REALLY THREATENING LETTER* - I repaid it all (some £2000) and have been scared to reapply since then...


    The disregard applies to the difference between the 2011 actual income and the 2012 actual income. The estimated income is used until the actual figures are known.

    https://revenuebenefits.org.uk/tax-credits/guidance/how-do-tax-credits-work/understanding-the-disregard/#History%20of%20the%20income%20disregards
  • 50Twuncle
    50Twuncle Posts: 10,763 Forumite
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    sheramber wrote: »
    The disregard applies to the difference between the 2011 actual income and the 2012 actual income. The estimated income is used until the actual figures are known.

    https://revenuebenefits.org.uk/tax-credits/guidance/how-do-tax-credits-work/understanding-the-disregard/#History%20of%20the%20income%20disregards


    Its probably too late to do anything about it now - but my income in 2011 was low due to living on benefits (ESA and my wife had a part time job) - I claimed WTC for a job that I started in 2012 and underestimated our combined income by £1600 - Which caused them to claim it ALL back from me
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