PARENTS have only a few hours left to check if their benefits need to be extended – or risk having payments stopped.
Everyone gets tax credits must act quickly as the claims deadline is midnight TODAY (July 31st).
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In the run-up to the deadline about a quarter of a million people the get benefit have yet to renew their claim.
Child and work tax credits are worth over £3,000 per year.
Applications for the money must be renewed every year to continue receiving the benefit.
About 2 million people still receive tax credits that are gradually being replaced by Universal credit.
The deadline is usually July 31 of each year with renewal packages shipped by HMRC in the months before.
If you do not complete the form, payments may be stopped or you may be required to refund money.
How do I extend my tax credits?
Renewal Packets explaining whether or not you need to renew or update your information will be sent by HMRC.
Those who need to renew will get a letter with a red line on it and the words “respond now”.
People who need to check their details will see a letter with a black line and the words “respond now”.
If all your details are correct, you don’t have to do anything – your tax credits are automatically extended.
If there is a change in your circumstances, you must notify HMRC.
The following changes may affect your tax credits:
- Living arrangements
- Day-care
- Working hours
- Whether your income has increased or decreased
If you have not received a renewal package closer to the deadline, can contact HMRC.
Your renewal package contains more information about how to renew and the information you need to provide.
This states, among other things, how your circumstances have changed and the income of you and your partner for the previous tax year, which ran from April 6, 2021 to April 5, 2022.
You can extend your tax credit in three ways: online, by post or by telephone.
To do it online you need to: log in to your tax credit account and follow the instruction.
You can renew by telephone by calling HMRC on 0345 300 3900.
By post, complete and mail the forms in your renewal package to: Tax Credit Office, HM Revenue and Customs, BX9 1LR.
How much are tax credits worth?
Tax credits are for low-income people who may have a child or disability,
The exact amount you can get will depend on your circumstances.
Working tax credits per year:
- Base element £2,070
- Couple and single parent £2,125
- 30 hour element £860
- Disabled Employee Element £3,345
- Severe Invalidity Element £1,445
- Childcare element £175 or £300 depending on the number of children
Child discount per year
- Family element £545
- Kids Element £2,935
- Disability Element: Disabled Children Fee £3,545
- Disability element: rate for jointly and severally disabled children £1,430
For both Working Tax Credit and Child Tax Credit you can: use a benefits calculator to find out how much you can get.
Anyone who receives tax credits and other past benefits will be transitioned to Universal Credit at the end of 2024.
You may be moved earlier if you have a change of circumstances, but it’s worth checking for any changes to your entitlement.
It might not be better to go across and you can’t go back.
The government estimates that some 700,000 tax credits could be better off.
But another 300,000 could be worse off and should not move until invited because they could have less money.
Anyone considering switching should check carefully and ask for advice so they don’t lose.