For most new claimants, Universal Credit has replaced tax credits. Before submitting a claim for Working Tax Credits or Child Tax Credits, verify that you are still eligible for these benefits.
Working and child tax credits use the same application process, albeit you may not be eligible for both.
How to Claim Working Tax Credit?
Making a statement
- Call the HMRC tax credits helpline to apply for working tax credits. Because processing your claim might take up to 6 weeks, you should complete so as soon as possible.
- HM Revenue and Customs (HMRC) tax credit helpline
- 0345 300 3900 is the phone number.
- Call 18001, then 0345 300 3900, and tell them what you want to say if you can’t hear or speak.
- Using a textphone or an app, Relay UK may reach out. Using it won’t cost you anything more. The Relay UK website has instructions on how to use it.
- +44 2890 538 192 is the international phone number.
- 8:30 a.m. to 5 p.m. Monday through Friday
- If you have a phone plan that includes free calls to landlines, your call is likely to be free – discover more about dialling 03 numbers.
Keep track of the date and time you made the call. Takedown the name of the person you spoke with and the HMRC office where they work, which may be in Preston or Belfast; these details could need later on in your application.
- Get all of your documents prepared before you call.
- The interviewer will ask you a few questions regarding your annual salary. Pay stubs, your P60 or P45, and other sources of income, such as savings, pensions, or real estate, may help you figure this out.
- HMRC may request copies of these documents since they use this information to compute your tax credits.
- If you’re in a relationship, it’s essential to take care of yourself.
- You must submit a combined tax credit application if you are married, in a civil partnership, or live with your spouse.
- When assessing whether or not to accept your claim, HMRC analyses your and your partner’s income. Therefore, you must provide your partner’s details as well as your own.
- You’ll receive less money if you file a joint claim. HMRC may force you to return tax credits if you don’t supply proper information, such as claiming as a single person when you’re part of a couple.
- Call the tax credits helpline or go to your local Citizens Advice if you’re not sure whether you need to register a joint claim.
If you have children, you can get tax credits for each one you take care of until they turn 16 or until they turn 20 if they were born before April 6, 2017, and stay in full-time school or training.
Most of the time, you can only get a child tax credit if it is your first or second child if you have a child after April 6, 2017. Even though Universal Credit has mostly taken the place of child tax credits, you should still make sure you qualify for it before applying.
If you and someone else, like their other parent, share custody of your children, the person who spends the most time with them should make a claim.
If your daycare provider is registered and recognised, you may be eligible for extra tax credits to help with childcare expenditures for children under 15. To discover whether your childcare provider is registered and licensed, go to GOV.UK.
Your childcare provider’s details must be provided, including their registration number.
Whether you’re not sure if your childcare provider is licensed and registered, contact your local Citizens Advice; an expert will be able to help you.
Figuring out your profits
Your tax credits are calculated by HMRC using your previous tax year’s income, which you earned in the 12 months before April 5. If you’re making a joint claim, you’ll need to supply details about your spouse’s earnings.
To determine your income, start with the ‘total for year’ amount on your P60 End of Year Certificate, then add any,
- money from state assistance, such as Jobseeker’s Allowance or Carer’s Allowance, plus savings or pension credit.
- If you received statutory paternity, maternity, or adoption pay in the previous tax year, deduct £100 for each week you were on leave.
- If you now earn more than £2,500 more than the previous tax year, like a pay raise, you should ask HMRC to use your predicted income for the current tax year instead. Because if HMRC uses your previous tax year, you may be overpaid and be required to reimburse the money.
- Getting help with your insurance claim
- HMRC may be able to assist you with the claim procedure if you are deaf or hard of hearing, blind or partially sighted.
- If English language is not your native tongue.
- In the United Kingdom, you may choose from various help programmes to meet your needs.
- HMRC should accommodate you if you have a handicap that makes it difficult to complete any part of the claim process. Contact your local Citizens Advice Bureau for help.
What will happen next?
GOV. The UK allows you to submit your evidence either by mail or online. For example, HMRC may seek documentation of your pay to support your claim to the taxman. If HMRC requests further information, you will get a letter.
The majority of new claims are settled in six weeks or less. Your tax credits will deposit every four weeks into the bank account you specify on the claim form if your claim is granted. If you call the tax credits hotline, HMRC may pay them every two weeks in certain circumstances.
Call the Tax Credits Helpline (numbers below) or go to the Gov.UK website to manage your tax credits online if you are currently collecting tax credits and need to amend your claim. (For example, if you are getting a Child Tax Credit and wish to claim Working Tax Credit) (Manage your Tax Credits online). Similarly, if your circumstances have altered, you should notify HMRC.