About 2.1 million tax credits claimants will begin to receive their annual renewal packs from HM Revenue and Customs (HMRC).
The packs will be sent between 25th April and 27th May 2022, and claimants have until 31st July 2022 to check their details are and update HMRC if there has been a change in circumstances.
Tax credits help working families with targeted financial support, so it is important that people do not miss out on money they are entitled to.
There are 2 types of renewal packs:
- if it has a red line across the first page and says ‘reply now’, claimants will need to confirm their circumstances to renew their tax credits
- if it has a black line across the first page and says ‘check now’, claimants will need to check their details are correct. If correct, claimants do not need to do anything and their tax credits will be automatically renewed
About 630,000 claimants will need to confirm their circumstances to renew their tax credits for the 2022 to 2023 tax year.
Renewing online is quick and easy. You can log into GOV.UK to check the progress, be reassured it is being processed and know when they will hear back from HMRC.
Those using the HMRC app on their smartphone can:
- renew their tax credits
- update changes to their claim
- check their tax credits payments schedule
- find out how much they have earned for the year
HMRC has released a video to explain how tax credits customers can use the HMRC app to view, manage and update their details.
If there is a change in a circumstances that could affect tax credits claims, they must report the changes to HMRC. Circumstances that could affect tax credits payments include changes to:
- living arrangements
- working hours
- income (increase or decrease)
Tax credits are ending and will be replaced by Universal Credit by the end of 2024. Many who move from tax credits to Universal Credit could be financially better off and can use an independent benefits calculator to check. If customers choose to apply sooner, it is important to get independent advice beforehand as they will not be able to go back to tax credits or any other benefits that Universal Credit replaces.