Working Tax Credits 2016-2017

[essexmat]

Evening all

 

I hope you are all well, it has been a long time since I have beenon apart from an odd few replies and this time I need some help understanding the wonderful world of HMRC etc!

 

OK, as you may know I started work in October 2015 (great news and still happy and away from the DWP!) I am in receipt of WTC (single, no children etc) of £207.08p/m from 2015-2016 financial year (new financial year upon us!) This is based on me starting work end of October 15 to March 31st this year on a salary of £17,031 so in effect only working for 6 months in claim year.

 

I get paid monthly and thought I would call to see what my position was in the next financial year and after a 25 minute call wait and a lengthy discussion I am still none the wiser.

 

They said I would need to declare my earnings for April 16 to April 17 which of course would be the full year, so £17,031 and would have a £2,500 disregard so a figure of £14,531. Based on that my WTC payments seem to be £0.00pm (great!) What I was also told is taxable benefits (signed off 25/10/2015) would be included as well.

 

Now, they said my payment for April 27th would be around £80.00 based on my earnings Oct15-Mar16 of around £7,305.00 but even though I get a renewal pack between April and June 2016 I would need to call them to update my circumstances around 8th April but Iam still unsure what information I need to give.

 

Will WTC payments be based on my income from Oct15-Mar16 or Apr16-Apr17? If the latter then I get £0.00pm as I guess I had a full years WTC in financial year 2015-2016.

 

What I am worried about more than anything is if I continue to get payments, even at £80.00pm and I misinform them with info due to my lack of understanding I could be met with a horrid situation of trying to deceive HMRC and a request for repayment of funds.

 

I am very confused on what I should get, even if nothing and how I should go about doing a renewal - i.e. wait for pack which could be June (deadline for renewals is 31/07) and get say 4 months payments I am not allowed (overpayments) or call and update straight away and get a letter stating I get nothing. Obviously loss of WTC will be a hit but I am still earning more than on benefits so would adjust accordingly.

 

Any help appreciated.

[martin2006]

I dont have all the answers for you unfortunately but there are team members who are good in this area.

What i do know is tax credits are paid based on the previous years earnings so for this last year you would have been assessed based on dwp income.

 

I think thats how it works and im sure it will be corrected if wrong

[essexmat]

Thanks for the reply, sorry it has taken so long to log back on!

 

I was very confused when I spoke to HMRC so I guess I will have to work it out when I speak to them again in around a week.

 

The DWP and HMRC love a form and a complicated set up don't they?!

[honeybee13]

Hello essexmat. I'm sorry I can't help. I'm sure others will.

 

It's great to see you again, I hope you're getting on OK?

 

HB x

[essexmat]

Getting on fine, thanks. Probabtion period is up end of April so been in work almost 6 months and just glad to be away from the clutches of the DWP. Finally having some freedom back after 2.5 years in despair is great!

[essexmat]

Absolutely IMPOSSIBLE to get through. Held on for 35 minutes last night and 38 minutes just now before I had to do something else. I know it is a very busy time and that everyone is trying to do the same thing. There is not even a general email helpdesk to contact. Oh, and as for the endless menus at the start of the call grrrr!Government departments, don't ya just love em!

[reallymadwoman]

Why not put in writing to them (with a certificate of posting!) exactly what you earned/received in benefits last year and what you expect to receive next year and ask them how that will affect your payments or if they need any other information. That puts the ball firmly in their court and may cover you for any over payments as being their error. However, in the meantime I'd be putting any payments safely into a savings acount just in case they ask for it back.

[essexmat]

Why not put in writing to them (with a certificate of posting!) exactly what you earned/received in benefits last year and what you expect to receive next year and ask them how that will affect your payments or if they need any other information. That puts the ball firmly in their court and may cover you for any over payments as being their error. However, in the meantime I'd be putting any payments safely into a savings acount just in case they ask for it back.

 

Thanks. Ironically I done this today with some free time I had and also intend on not spending a penny on any WTC I get until I get an award letter so any overpayment can safely be returned with no problems!