Did you estimate your income when you renewed your tax credits in 2011?
Perhaps you are self-employed or you were expecting a bonus or commission from your work? Whatever the reason, when you completed your tax credits renewal in 2011 you may have given the Tax Credit Office an estimated figure as to what your income would be.
In order that your tax credits claim is correct, you now have to provide your actual income figure. The deadline for doing this is 31 January 2012. If you don’t provide your actual income figure by this time you could get the wrong amount of tax credits and have to pay a penalty.
Keep reading to find out exactly what you need to do.
Providing your actual income
It is vital that the Tax Credit Office have an accurate record of your earnings. There are two reasons for this.
Firstly, it means that they can ensure that you are receiving the correct amount of tax credits for the forthcoming tax year (starting on 6 April 2012). Secondly, it also means that they can check that you were paid the correct amount of tax credits in the last tax year, which ends on 5 April 2012.
So, if you don’t provide your actual income to the Tax Credit Office by the 31 January deadline:
- You may be receiving fewer tax credits than you are entitled to
- You may be receiving more tax credits than you are entitled to. This is called an ‘overpayment’ and you will normally have to pay an overpayment back. In addition, you may also be charged a penalty
You should have received a reminder from the Tax Credit Office over the last couple of months if you are required to prove your actual income.
What to do next
If you provided an estimated income figure than you will have to let the Tax Credit Office know what your actual income figure is before the deadline of 31st January.
You can do this by calling the Tax Credit Helpline on 0345 300 3900. The helpline is open between 8am and 8pm on Monday to Friday and between 8am and 4pm on Saturday.
I haven’t received a reminder to confirm my actual income. Does that mean I don’t need to? (I am pretty sure I gave an estimate when I renewed my tax credits).
Gloria – thanks for your question. I would certainly get in touch with the Tax Credit Office and make sure they have your correct details on file. I wouldn’t assume that just because you haven’t received a reminder that you don’t have to confirm the figures.
Give the Tax Credit Office a call and make sure they have your correct income details.
hi i haven’t recieved a letter to remind me about the actual amount income for my household but i am sure that when i filled the form out i gave the actual amount but not completely sure will my tax credits be stopped.
My wife works 16 hours a week and I don’t work, I’m going self employed as a gardener, odd job man, I’ve done this before and did ok so I know I’ll be fine. I will do a minimum of 8 hours a week, certainly averaging 32 hours over 4 weeks. What I want to know is how do we go about making a fresh claim, because I won’t be able to put anything down for income only an estimate, which would be 8 hours a week at minimum wage, I won’t go above minimum wage as a lot of my customers will be oaps, please advice.
Please can you advise been working 30 hours but covering for illness for a few month & found out that i should have contact you & over the year will exceed 10.900 but next year will be only 8.400 will I loose my working tax credit & will I have a overpayment to pay back.