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Worried about tax credit renewal

7 replies

justalittlelemondrizzle · 04/05/2015 19:19

I'm worried about having to replay money. We have earned an extra 2k since the last renewal.
The earnings limit is £35k which were now a few hundred below. Used an online calculator and it says were entitled to nothing. Which is fine. Don't really need the measly £25 a month they were giving us anyway. I'm now wondering, have we been overpaid?
My question is:
Are the payments based on the previous years earnings, therefore we will only have to pay back anything received since April, or will we have to repay the entire past years award?
That's it really

Thanks in advance

OP posts:
justalittlelemondrizzle · 04/05/2015 19:19

Repay* not replay. Damn phone!!

OP posts:
justalittlelemondrizzle · 06/05/2015 12:00

bump!

OP posts:
Gooshka · 06/05/2015 22:37

I'm in a similar situation (we've earned 7k more though) but my understanding is that the first £5k of any pay increase for the tax year 2014-15 is disregarded so you actually shouldn't have any overpayment at all (but from April 2015 - 16 you will be building up an overpayment if you haven't informed them of your 2k increase from last year). So, in my situation, I'm over the disregard by £2k so will definitely have an overpayment. I'm also not entitled to tax credits this year but am still being paid them because I haven't tried to phone and be put on hold for 2 hours. I'm putting the money in a separate account as I know for definite I will have to repay it when I eventually get the renewal forms. Try not to worry as, in my experience, it's a lucky dip with HMRC and they don't appear to know their arse from their elbow.Grin

Gooshka · 06/05/2015 22:39

Apologies for poor typing, I've got a tiny screen on my phone (and I forgot I could press 'return' to create paragraphs!) Angry

justalittlelemondrizzle · 07/05/2015 14:01

Thanks. So I should only have to pay back everything received since April then. That's a relief! I've already started putting it in a savings account.

OP posts:
Jackieharris · 07/05/2015 14:03

There's a £5k disregard when your income goes up so you should be ok with just a £2k rise.

GooodMythicalMorning · 07/05/2015 14:08

You can write a letter to inform them if changes. And there is a way of doing it online but it seemed very complicated to me.

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