The 31st July was the last day for families and individuals that receive tax credits to renew their tax credit. As in previous years, there was likely last minute rush when it may have been difficult to contact HMRC by phone.
Claims can be renewed by post, phone or online. A press release from HMRC released on 24 July 2016 highlighted the fact that approximately two million people have already renewed their tax credits. However, that still left more than one million renewals outstanding. According to HMRC the online renewal process now takes less than 10 minutes on average, with satisfaction rates reaching 90%.
Nick Lodge, HMRC’s Director General, Benefits and Credits, said:
‘It’s great that millions of people have renewed their tax credits or reported changes so far, but anyone who hasn’t done so yet should take action now – it only takes a few minutes to renew online. There are more ways than ever before for people to renew their claim – including our new app – so I urge people to renew now.’
Claimants need to notify HMRC of any changes to the family size, child care costs, number of hours worked and salary. Details of previous year’s income also need to be completed to allow HMRC to check if the correct tax credits have been paid.
Claimants must also inform HMRC of any changes in circumstances not already reported during the year such as new working hours, different childcare costs or changes in pay.
Once the deadline has expired, anyone who has not yet renewed their tax credits should still ensure they do so as soon as possible as otherwise their payments may be stopped and monies received since last April may have to be repaid. We would strongly advise any of our readers still to renew their tax credits to do so as a matter of urgency.