Tax credit questions

[Vic112]

Hi I have a question about the tax credit system I have never done this before so am new to the while thing I am due to start met leave but this be on 90% for 6 weeks then £130 pw my earning on year on met leave will drop fromnormal wages so confused as to what I can get as goes on previous year

I earn to 5 th April 12 £13129 before deductions
Partner £24244 before deductions

But what I don't know how to is my income wont be near this on met leave or after

Met leave?

this should help

Thanks I am not sure what if any I'm not if they took what I earns April 12 plus OH income we get nothing but my income has dropped as on met leave but they class you as working I just don't get it ....

For this bit do you add your met pay? Can someone please walk me through others must do it xx

The calculator asks you for your income for the last tax year. But if your income for this tax year is likely to be lower, you might need to type in a different amount.
Follow the guidance that applies to you below, to help you find out what amount to type in. This will help you get a better idea of how much tax credits you could get.
This tax year is 6 April 2012 to 5 April 2013.
Drop in annual income of more than £2,500
Step one. Take your lower income.
Step two. Add £2,500 to it. This is because the Tax Credit Office ignores the first £2,500 of the income drop when working out your payments, but the calculator can?t.
Step three. Type your answer into the calculator.
For example, your income for the last tax year was £30,000. But you estimate that your income will drop to £20,000 for this tax year (6 April 2012 to 5 April 2013). You need to type £22,500 into the calculator. This is worked out like this:

£20,000 + £2,500 = £22,500.

SMP is not counted in TaxCredits.

So how would it work .. Sorry I'm new to the whole thing

And you are working, you are just on leave from that work.

I classed as working as just on leave

Do you have to apply for them even if you know you aren't entitled iygwim? If you have a grown up ds and you earn over the limit?

Do you mean maternity pay?

Ring the helpline if you can bear to hang on a bit, takes a while but they are ery helpful when you do get through.

I don't think SMP is taken into account but not sure.

check here

Really your HR should have sorted this with you so you know where you are.

"You can call the Tax Credit Payment Helpline on Tel 0845 302 1429. The helpline is open from 8.00 am to 8.00 pm Monday to Friday, and 8.00 am to 4.00 pm on Saturday."

The first £100 you earn each week of maternity leave is disregarded. So if you are earning £200 per week normally, your 6 weeks at 90% (£180 a week) you would include earnings of £80 a week. The weeks you are earning SMP of around £130 a week, your earnings to include would be £30 a week. Does that make sense?

You will apply for tax credits based on last year's annual income. You will get a letter saying you're not eligible, you will then need to ring up and declare your estimated earnings for this year.

I was told all SMP was discounted. This happened with DD2 who is now 2. Have things changed then? The only money I declared was OMP minus SMP.

DS is now 17 months and this was the process both when I first claims and also when I renewed last month.

I think your DP earns too much for you to get tax credits according to the new system. And if you do, only a small amount.