Final tax creditss decision FY13-14 - Surely not?!

[JellyBeansHaveNoAgeLimit]

Sorry for another tax credits question but I am finding this too good to be true!

I've been paid over £1000 in child tax credits as a final payment for last financial year. I called them to double check and have received a letter confirming that its correct but I am really scared they are going to ask for it back!

Is this something that normally happens at the end of the financial year? My tax creds for this financial year are still being paid as normal. We've just had to really tighten our belts as we've gotten in a bit of a pickle financially so this will really help us out if its correct!

If your income was £3500 lower than the year before, then it could well be right. Did you have a drop in income?

I stopped work to be a SAHM in 2012 (so financial year 13?). Guess that must be it then. No hope for the same next year then lol!

Yes, if you stopped working at some point in 2012/13, then your earnings for that year would be your DH's income plus whatever you earned until that point.

Then, your 2013/14 income would just be your DH'S income.

HMRC ignore the first £2500 drop in income, then for every £1 you were assumed to earn based on the previous year, you'd already had 41p deducted from your tax credit award. The adjustment you received gave you back that 41p for every pound that you didn't earn compared with what they expected you to earn.

To get a £1000 payment, you'd have to have earned £5000 less than expected (£2500 ignored, then £2500×0.41=£1025).