Manage Your Tax Credit

Understanding your financial situation and getting all the facts right and knowing what kind of support is available for you makes you saving and managing money a lot easier and stress free.

Tax credits are a type of benefit made available for people with low income and   responsible for children. There are two types, child tax credits and working tax credits if certain criteria applies to you can get both. You don’t pay any tax on the money you get from tax credits but they are means tested, which means that your household income will be assessed to see whether you qualify to get them.

Web chat is generally available, although not 24 hours a day and is reliant on HMRC advisers being available.

Understanding your financial situation and getting all the facts right and knowing what kind of support is available for you makes you saving and managing money a lot easier and stress free.

Tax credits are a type of benefit made available for people with low income and   responsible for children. There are two types, child tax credits and working tax credits if certain criteria applies to you can get both. You don’t pay any tax on the money you get from tax credits but they are means tested, which means that your household income will be assessed to see whether you qualify to get them.

Web chat

This service is available via the GOV.UK website. It offers the chance to chat to an HMRC adviser via the website, either on general matters or specific to your own tax credit award.

Web chat is accessed via the GOV.UK contact page. If you are using the ‘Manage your tax credits’ service (which means you will have confirmed your identity with HMRC), you can use web chat to deal with matters specific to your claim.

Web chat is generally available, although not 24 hours a day and is reliant on HMRC advisers being available.

HMRC App

You can use the HMRC App if you have a compatible smart phone (most android and I-phones). It is free to download from the ‘app store’ and provides a variety of digital services across HMRC lines of business. For tax credits, you can check your payments using the App, and notify most changes of circumstances and complete your tax credit renewal once you have received your renewal pack.

Personal Tax Account

is an HMRC system bringing all of your tax details into one place so that you can register, file, pay and update your tax information online at any time.

HMRC already offers an online tax account that will help people across the country manage their tax affairs more easily. The account is still under development but it will eventually bring all your information and a host of exciting new services together in one place, putting you in control of your own information.

you’ll be able to tell the HMRC when your circumstances change, so that you have the reassurance of knowing that your taxes and tax credits are always up to date. For many people, that will eventually remove the need to complete a tax return at the end of the year. You’ll receive secure messages to remind you when it’s time to do something, so that you need never forget a deadline. You’ll be able to see immediately what any changes in your circumstances mean for the tax you need to pay, or the money you can receive. And you’ll be able to manage payments quickly and easily online.

To use this service, you have to register with the Government Gateway service or use your existing account if you already use Government Gateway for self-assessment. Besides the tax credits on-line service, you will be able to check the following:

• your personal details (name, National Insurance number, and address)
• a Tax Estimate Service telling you how much tax you will pay through PAYE, and allowing you to check the information your estimate is based on – replacing the old-fashioned paper P2 tax coding notice
• links to income tax-related online forms on GOV.UK

this online gateway will see many improvements, by 2020 when the system is complete you will no longer need to send off the same details to multiple different services because the information about your pensions, employment, PAYE codes, and savings income will all be brought together to calculate tax. This one-stop-shop will also give more than 50 million individuals, freelancers and small businesses the possibility to pay-as-you-go with their taxes.

Tax credit benefits are usually paid by direct credit transfer straight into an account. In the past it was possible to get paid by cheque or order book but these have been phased out. If you have problems opening an account, or payment by this method will be difficult for you.