Hundreds of thousands of people who claim tax credits have just days left to renew their claims or see the benefits stopped, according to HM Revenue and Customs (HMRC), which has issued a reminder to customers ahead of the July 31 deadline.
HMRC says around 222,600 claimants risk having their payments stopped and more than 363,000 Tax Credits claimants have already renewed. HMRC director general for customer services Myrtle Lloyd said: "It’s great to see so many customers have already renewed their Tax Credits.
"I urge those who are yet to renew to do so as soon as possible, in order to avoid having their payments stopped."
You should receive a renewal pack in the post explaining everything you need to know about renewing your Tax Credits and not everyone needs to take action, reporters The Mirror.
If your renewal pack has a red line across the first page and says "reply now" then you will need to renew your tax credits. But if it has a black line and says "check now" you just need to check your details are correct.
If there is a change in a customer’s circumstances that could affect their Tax Credits claim, then you must report this to HMRC. These include changes to:
- living arrangements
- childcare
- working hours, or
- income (increase or decrease).
But HMRC is also warning Tax Credits claimants to beware of scams as they renew their benefits. The Government department warns that if someone contacts you saying that they are from HMRC and asking you to transfer money or personal information urgently, don't do it.
Instead, check HMRC scams advice on GOV.UK before taking any action. If someone asks for login details, the same rule applies - don't be rushed and assume it is a scammer.
HMRC said: "HMRC is also urging customers never to share their HMRC login details. Someone using them could steal from the customer or make a fraudulent claim in their name."
There are two types of Tax Credits that you could be entitled to - Working Tax Credit and Child Tax Credit. Tax Credits are ending and will be replaced by Universal Credit by the end of 2024.
