HMRC Warns Of Looming Tax Credit Deadline Date Approach.

Do you qualify for working tax or child tax credits?

Have you submitted your renewal claim yet? If not, it’s worth remembering that you have less than 3 weeks to do so. That’s the warning from HMRC, and it’s also the message that Steven Glicher accountants is telling clients: act now and renew your application by 31 July, or risk losing your tax credit benefits.

Tax credits are benefits that give additional funds to those responsible for children, disabled workers and some other workers on lower incomes. Some people receive child tax credits; some receive working tax credits while some receive both.

Tax credit renewal packs were sent out to 5.8 million people between April and June this year.

The tax credit renewal finalises the award for 2013/14 based on final information about income and circumstances for that year; and renews the claim for 2014/15. The renewal pack asks claimants to check the accuracy of the information HMRC holds about them, and provide any new information should their personal circumstances have changed. The changes it refers to primarily relate to things like working hours, childcare costs or annual pay.

HMRC had advised that each individual should ideally return the completed application as soon as they received the pack, regardless of whether they wish to renew their claims for the coming year. Steven Glicher accountants would like to point out that if even if you are wanting to renew your claim you will need to notify HMRC of this, or it may treat all of the payments made to you in the previous year as overpayments, and may therefore seek to recover these.

Despite the widespread publicity and repeated warnings about the looming deadline, it would appear that up to 1.5 million UK residents have yet to return their renewals and confirm their current circumstances. HMRC is advising that these people should act immediately, or risk losing their benefits.

Claimants can renew their claims by post or by telephoning the following number – 0345 300 3900. HMRC is also offering an online service this year for the first time. Anyone wanting to renew online should either visit gov.uk/renewtaxcredits, or use the new free HMRC mobile app which is available in the iTunes and Google Play stores. Last year, more than 650,000 people failed to renew their tax credits on time, however HMRC claims its new and improved online renewals system means people no longer have any excuse. So far HMRC estimates that 135,000 have already submitted their tax credits renewal online, so it would appear that the new online renewal system must indeed be working satisfactorily.

Commenting on the renewal reminder, Nick Lodge, director general of benefits and credits at HMRC, said:

“Loads of people have already renewed their tax credits claim online, and have found it quick and easy to do. We’ve now made it even better and are encouraging everyone to renew online if they can, at a time that suits them.”

“The most important thing is to renew before the 31st July deadline, so as not to risk losing your money.”

Steven Glicher accountants appreciate that if you’re running a small business, matters like tax credit renewals can seem like an unnecessary distraction. What you’re probably more focused on is running that business as effectively as possible. That’s where we can help you. We can assist with all matters relating to tax credits, leaving you free to concentrate on what you do best. For further information contact Steven Glicher accountants on 0161 485 8007

News / Blog

17th
January

What Are The Biggest Tax Mistakes You Can Make As A Small Business Owner?

For small business owners in Stockport, there are plenty of things to worry about, such as sales, customers, staff etc.…

11th
January

The Benefits Of Working With A Small Business Accountant

Most Stockport small businesses use a local accountant for bookkeeping and tax returns. But there are plenty of other benefits…

5th
January

What Information Do You Need to Submit to Your Accountant For Self Assessment

The Self Assessment Tax Return is on it’s way out. Making Tax Digital (MTD) is going to change how all…

28th
December

Business Accounting Trends To Look Out For In 2018

The New Year is almost upon us. It is likely that the pace of change for small business will continue…