Don’t forget to renew your tax credit claim
The child tax credit has been designed to help lower income families with children. Credits are available to families with low to moderate income. Child tax credit is paid directly to the main carer in the family either weekly or monthly and is usually paid directly to a designated bank or building society account. The working tax credit assists taxpayers on low incomes by providing top-up payments.
Families and individuals that receive tax credits should ensure that they renew their tax credit claims by 31 July 2014. Claimants who do not renew on-time may have their payments stopped. HMRC figures state that some 5.8 million tax credits renewals packs will arrive on taxpayers’ doorsteps by 30 June 2014. Last year 650,000 claimants had their payments stopped because the deadline was ignored.
Claims can be renewed by post and by phone and this year for the first time, claims can be renewed online but only if there are no changes to report. Claimants need to notify HMRC of any changes to the family size, child care costs, number of hours worked and salary. Details of previous year’s income also need to be completed on the form to allow HMRC to check if the correct tax credits have been paid.
Claimants must also inform HMRC of any changes in circumstances not already reported during the year such as new working hours, different childcare costs or changes in pay.
Nick Lodge, HMRC’s Director General, Benefits and Credits, said:
‘People should check their details and renew early to make sure they get the right money. Don’t leave it – people who don’t renew on time risk losing their payments.’
HMRC is also running a comprehensive advertising campaign throughout June and July on radio, television, bus shelters, and via a mobile app, Spotify and video on demand.