Advanced search

Mumsnet has not checked the qualifications of anyone posting here. Free legal advice is available from a Citizen's Advice Bureau, and the Law Society can supply a list of local solicitors.

Tax credits and inheritance

(5 Posts)
Namechengedtoprotecttheinnocen Fri 19-May-17 14:43:00

Tax credits are always a hot topic and I'm absolutely not trying to hide anything, just looking for advice on the probable impact of answering the questions truthfully so I can prepare myself.

I inherited some money last year and have since used it to buy my exH out of the house. There is less than £6000 left of the cash. While filling in the tax credit renewal I'm being asked for the total amount that I inherited. Most of the money is now either with my ex or invested in the house - do I get a chance to tell them this or will they assume I still have the whole amount?

Namechengedtoprotecttheinnocen Fri 19-May-17 16:28:35

Ah, finally got to the bottom of it all! You only have to declare an inheritance if there was a form R185 issued. This is the form to declare the tax on any interest accrued from the estate while it was waiting to be executed.

bimbobaggins Fri 19-May-17 19:25:11

How did you get to the bottom of it ? I've recently had an inheritance and I've written to tc wishing to stop my claim but haven't heard back

Namechengedtoprotecttheinnocen Sun 21-May-17 13:06:27

I phoned tc and asked. They said only declare if there's a form R185 which shows the interest from the inheritance before it came to you. I checked with the solicitor and there wasn't. I have to declare it as savings rather than as the inheritance which as it passed through my savings account so quickly I didn't earn any interest on it.

So I declare what's left as savings and see what happens this year.

bimbobaggins Wed 24-May-17 19:39:12

Thanks namechanged I have received a letter from them today asking me to phone. I'm a bit worried about this because I don't want any stress in dealing with them. I'm trying to do the right thing

Join the discussion

Registering is free, easy, and means you can join in the discussion, watch threads, get discounts, win prizes and lots more.

Register now »

Already registered? Log in with: