PARENTS have just hours left to check if their benefits need renewing – or risk having payments stopped.
Anyone getting tax credits needs to act fast as the deadline for claims is midnight TODAY (July 31).
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In the run up to the deadline around a quarter of a million people getting the benefit have still needed to renew their claim.
Child tax credits and working tax credits are worth over £3,000 a year.
Claims for the cash need to be renewed each year to continue getting the benefit.
Around 2million people are still getting tax credits which are gradually being replaced by Universal Credit.
The deadline usually falls on July 31 each year with renewal packs sent out by HMRC in the months before.
If you don’t fill in the form then you could have the payments stopped, or end up having to pay money back.
How do I renew my tax credits?
Renewal packs explaining whether or not you need to renew or update your information are sent out by HMRC.
Those that need to renew will have a letter with a red line on it and the words “reply now”.
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People that need to check their details will see letter with a black line and the words “reply now” on it.
If all your details are correct, you don’t need to do anything – your tax credits will automatically be renewed.
If there’s a change in your circumstances, then you’ll need to tell HMRC about it.
The following changes could have an impact on your tax credit payments:
- Living arrangements
- Childcare
- Working hours
- Whether your income has gone up or down
If you haven’t received a renewal pack closer to the deadline you can contact HMRC.
Your renewal pack will have more information on how to renew, and the information you need to provide.
This will include information on how your circumstances have changed, and the income of you and your partner for the previous tax year, which ran from April 6 2021 to April 5 2022.
You can renew your tax credits three ways: online, by post or over the phone.
To do it online you need to log in to your tax credits account and follow the instruction.
You can renew over the phone by calling HMRC on 0345 300 3900.
By post, you need to sill in the forms in your renewal pack, and send it to: Tax Credit Office, HM Revenue and Customs, BX9 1LR.
How much are tax credits worth?
Tax credits are for those on low incomes and who may have a child or disability,
The exact amount you can get depends on your circumstances.
Working tax credits per year:
- Basic element £2,070
- Couple and lone parent element £2,125
- 30 hour element £860
- Disabled worker element £3,345
- Severe disability element £1,445
- Childcare element £175 or £300, depending on the number of children
Child tax credits per year
- Family element £545
- Child element £2,935
- Disability element: disabled child rate £3,545
- Disability element: severally disabled child rate £1,430
For both Working Tax Credit and Child Tax Credits you can use a benefits calculator to find out how much you could get.
Everyone getting tax credits and other legacy benefits will be moved over to Universal Credit by the end of 2024.
You could be moved earlier if you have a change of circumstances, but it’s worth checking any changes to your entitlement.
You might not be better off moving across and you won’t be able to move back.
The government estimates that around 700,000 tax credit claimants could be better off.
But another 300,000 could be worse off, and should not move until invited as they could end up with less money.
Anyone thinking of switching should check carefully and seek advice so they don’t lose out.
