Your Claim for tax credits will end from April 2012 unless you contact us

Posted by frauke PM | on Thu, 01/03/2012 - 18:53 2008 5 comments | report

I have a few cilents who have been getting tax credits, and are contacting me in a panic to ask what the HMRC knows about thier income that they don't know!

The first line of the letter starts:

This is because:

- Your household inocme is too high to get a payment of tax credits now or

- Changes taking effect from April mean that your household income will be too high based on the information we hold to get a payment of tax credits.

I have one client, would need the joint income to go up by 62% from the amount HMRC was given for 2010/11 before the entitlement will cease completely.

What is going on?

Anyone any ideas? Are HMRC no longer going to wait until 31 July to get the information anymore?