HM Revenue and Customs (HMRC) recently estimated that more than one million people in receipt of Tax Credits received the £301 cost of living lump sum during the May 2-9 payment window. However, it has also issued new guidance for anyone who believes they qualify for the payment, but have not received it.
In a post on Twitter, HMRC said: "If you receive Tax Credits and expected the Cost of Living payment of £301 but cannot see it in your account - please wait until 16 May to contact HMRC, to allow time for your payment to be processed." The payment should appear in bank statements or online accounts as ‘HMRC COLS’.
The first part of the £900 means-tested support package is for those on Working Tax Credits or Child Tax Credits-only, who do not receive any other qualifying benefit from the Department for Work and Pensions (DWP). If they do, that payment window remains open until Wednesday, May 17 and money will continue to land in bank accounts until that date.
To receive the first 2023-24 payment from HMRC, people must have received a payment of Tax Credits on any day between January 26 and February 25, 2023.
For joint claimants, where one claimant receives Working Tax Credit and the other claimant receives Child Tax Credit, payments will be made into the same bank account as the Child Tax Credit.
HMRC recently advised all Tax Credits claimants: “We also ask our Tax Credit customers to ensure that we have an up-to-date mobile phone number for them, so we can text them to confirm the dates for the autumn 2023 and spring 2024 payments once published.
“We ask them to check that their number is correct by logging into their Personal Tax Account - by searching for ‘HMRC services’ on GOV.UK.”
An estimated 758,000 people in receipt of Working Tax Credits or Child Tax Credits will be eligible for the next cost of living payment worth £300, due in the autumn.
It is also estimated that some 618,000 will be eligible for the final payment of £299, due next spring. The reduction in eligible claimants is due to the managed migration process from Tax Credits to Universal Credit which started in April and is set to reach all parts of Great Britain by September.
To keep up to date with the latest benefits news, join our Money Saving Scotland Facebook page here, follow us on Twitter @Record_Money, or subscribe to our newsletter which goes out Monday to Friday - sign up here.
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