Tax Credit Cuts (next year)

[lace&pearls]

Hi all, Just wondering if anyone can help me understand...

I'm trying to see if we would be affected much by the tax credit cuts that are going to in place from next year. We have one child under 4 and we are expecting another. I am a SAHM and my OH works full time. We aren't entitled to working tax credits but we do get child tax credits.

I'm very concerned because according to entitled to we will basically end up with no CTC next year.

But yet other sources I've looked at imply it's mostly households that have no one in employment that will be affected.

Can anyone please help shed some light?

**EDIT** actually I think it's from April 2017... (correct me if wrong)

 

[Springflower]

I'm confused too. I'm
Now a single mum not working and I thought my tax credits would not be affected.

It's really confusing isn't it!

 

[Pearls18]

Non working single mums will be affected when their youngest child turns 3, they will no longer get tax credits unless working a minimum number of hours, I'm surprised that hasn't been mentioned more really as it feels a bit change, I'm assuming that will be the same for couples if one parent isn't working? But either way it sounds like it could be all change anyway with the backlash from it.

 

[Ceejay123]

DIdn't a lot of these ideas get scrapped last month ?X

 

[mum140381]

yup they all got scrapped x

 

[Springflower]

No I think non working mums with children over 3 will still face the cuts.

It's very confusing!

 

[ridley2909]

Hi, what about the 3rd child not getting tax credits did that idea get scrapped also?

 

[Dinah93]

I think the age 3 child thing coming in is dependant on the free hours being upped to 30 for 3 year olds, which is currently looking very questionable.

 

[Buttercup84]

The tax credit reductions (changes to income threshold and taper rate) that were planned to happen in April have been scrapped for now but as far as I know the 3rd child rule is still happening from April 2017.

 

[ridley2909]

So if your 3rd child is born in March 2017 you would still receive tax credits for that child?

 

[Buttercup84]

So if your 3rd child is born in March 2017 you would still receive tax credits for that child?

As I understand it yes, though you'd have to be quick if it was a new claim.