Tax credits payments: How to check your tax credit payments are correct

Tax credits may be being passed out for some people, who have been moved over to the new Universal Credit system. But for many, tax credits still remain a lifeline. The Government benefit needs to be renewed every year by the deadline should you wish to continue receiving the cash. For most people, the date to renew your tax credits by is July 31, 2020.

Tax credit payments will vary depending on your individual circumstances.

HMRC will be able to give you the exact amount of tax credits you’ll receive when it processes your claim.

However, you can calculate roughly how much you can get by working out what elements you qualify for.

If you are working and on a low income, you could qualify for working tax credit.

The basic payment for this is £2,995 a year (including extra £1,000 due to coronavirus) but can increase based on additional elements you qualify for on top of this, including:

  • A couple applying together – Up to £2,045 a year
  • A single parent – Up to £2,045 a year
  • Work at least 30 hours a week – Up to £825 a year
  • Disability – Up to £3,220 a year
  • Severe disability – Up to £1,390 a year
  • Approved childcare – Up to £175 a week for one child, or up to £300 a week for two or more children


  • Universal Credit time: What time does Universal Credit go in?

You could also receive extra tax credit payments if you’re responsible for looking after a child.

If one of your children was born before April 6, 2017, you may get the family element of child tax credits – with the maximum amount being £545.

If all of your children were born before this date, you’ll be elligble for the child element, which amounts to a maximum of £2,830.

If you care for a child with a registered disability, you could earn £3,415, which rises to £4,800 for those with a severe disability.

You can receive working tax credits and child benefit tax credits at the same time depending on your circumstances.

How to check your tax credit payments are correct

HMRC have introduced a new on-line service which allows tax credit claimants to check their payments, without having to make a potentially lengthy phonemail.

Tax credit claimants can log in using their existing Government Gateway account.

If they don’t already have one, they will need to set-up a Government Gateway account for security purposes.

The new tax credit on-line service can be accessed here.

Child benefit: Will child tax credit payments affect claims?
National Insurance: How to defer contributions
PIP claimants could receive ‘premium’ top-ups for these benefits


  • Universal Credit UK: Legacy benefits could be boosted

When do you get paid tax credits?

Tax credit payments are made every week or every 4 weeks.

Those in receipt of tax credits can choose when they get paid on their claim form.

Bear in mind new applications can take up to five weeks to process.

Bank holidays could affect when you get paid.

But before calling HMRC if your payment is late, check the payment date on your award notice.

Who is eligible for tax credits?

You can only make a new claim for tax credits if you:

  • get the severe disability premium, or are entitled to it
  • got or were entitled to the severe disability premium in the last month, and you’re still eligible for it

If you cannot make a new claim for tax credits, you may be able to apply for Universal Credit.

Source: Read Full Article