Tax credit renewals

Tax credit renewals

Everyone who claims Working or Child-related Tax Credits should have received a Tax Credits renewal pack for the year 2021/22 from HMRC by now. If you haven’t received your renewal pack, please contact HMRC without delay on 0345 300 3900.

Where your income has reduced permanently as a result of the Covid-19 pandemic, check that your income details shown in the Tax Credit pack are correct.

Where your income has fallen temporarily as a result of coronavirus, perhaps because you were furloughed for a period, you don’t have to report this.

HMRC will treat your Tax Credit claim as if you have been working your normal hours while you were furloughed.

Other changes in your personal life do need to be reported to HMRC, as they may affect your Tax Credit claim. If you have altered your living arrangements, in terms of who you live with or where you live, this needs to be reported, as does any change in your childcare costs.

If you are self-employed, you may have received a number of covid-related grants in the year, such as under the Eat Out to Help Out Scheme or the Self- Employed Income Support Scheme (SEISS). These grants are all treated as taxable income, so need to be included on your Tax Credits renewal form.

However, you should not include any Test and Trace Support payment you may have received, which is a one-off lump sum of £500.

Your Tax Credits claim must be renewed by 31 July 2021, even if you need to include an estimated figure of your profits for the year. You can renew your Tax Credits claim online at renewing-your-tax-credits-claim.

Please contact us if you need any assistance when renewing your tax credits.