ONE-OFF payments of £500 have been landing in the bank accounts of Brits who claim working tax credits over the past few weeks.
The payout is supposed to echo the six month extension to the weekly £20 boost in Universal Credit payments.
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But because of the way the system works, working tax credit claimants won’t be able to get the boost extended. Instead, you’ll get a lump sum.
If you’re eligible, you should’ve received the cash yesterday, April 23.
But if you haven’t received it yet, we explain what to do next.
Who is eligible for the £500 payment?
If you claim working tax credits, you could get the £500 payment.
Brits will be able to get the cash if they received the following benefits on March 2:
- Working tax credit payments
- Working tax credit and child tax credit payments
Those who get child tax credit payments and are eligible for working tax credit but don’t get payments because their income is too high will also be able to get the payment.
You’ll get a £500 payment this time around due to the way the working tax credits system works.
It will match the extra weekly £20 boost that Universal Credit claimants will get for another six months.
In the previous 12 months, the basic element of working tax credit was hiked by the same weekly sum.
However, this increase was axed from April 6 as the new tax year started, and will now be replaced by the separate one-off payment instead.
It meant that claimants have seen their monthly payments drop this month.
How do I get it?
You don’t need to apply to get the payment – HMRC will text you or send you a letter to confirm if you’re eligible.
If you’re eligible for the payment, you should automatically be paid by April 23.
You should receive it via the same method that you usually get your tax credits paid.
The payment is non-taxable, plus it won’t affect any other benefits you may get.
You also don’t need to declare it as income for self assessment tax returns or for tax credit claims and renewals.
If you haven’t received your payment
If you don’t think you’ve received the payout, the first thing to do is check your bank account in case you’ve missed it.
It should appear on your bank statement as “HMRC C19 support”.
If you haven’t had it, you can contact the tax credits helpline on 0345 300 3900.
The phone lines are open Monday to Friday 8am to 6pm, and closed on Saturdays, Sundays and bank holidays.
This could also be worth doing if you think you’re eligible, but you haven’t heard anything from HMRC.
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Last month, Martin Lewis also explained exactly how qualifies for the £500 working tax credit payment.
Meanwhile, we share how to appeal your HMRC bill if you think the taxman’s got it wrong.
Plus, we explain how much you can earn and still get tax credits.
Martin Lewis explains who qualifies for £500 working tax credits payment
This post first appeared on thesun.co.uk
